Hong Kong’s TEC leases one lakh sq ft office space in Mumbai, Bengaluru
NEW DELHI: Hong Kong-based The Executive Centre (TEC) has taken on lease one lakh sq ft of office space in Mumbai and Bengaluru to expand its business in India despite COVID-19 pandemic. This business provides premium serviced office space. This company started its business in India in 2008 with its first property in Mumbai. Right now the company has around 30 centers in India spread over 8 lakh sq ft with a capacity of 8,000 desks. Besides that, the company has its offices across major cities in India. “We have signed two leasing agreements in Mumbai and Bengaluru on a purely rental basis,” TEC Managing Director-South Asia Nidhi Marwah said in an interview.
TEC leased 60,683 sq ft of office space in Bandra Kurla Complex (BKC) and 40,000 sq ft in Whitefield, Bengaluru. The company is targeting to open these two centers by March 2021, said the managing director of the company.
When asked about the office space demand during the COVID-19 pandemic, she replied that the demand for Grade-A office space remains intact and rentals stable. However except for the IT industry, there are inquiries for serviced office space from new industries like pharma, banking, and consultants, she added. Nidhi Marwah also stated that corporates do not want to invest in setting up their own offices and are looking for flexible office space.
“We are currently operating at an occupancy level of around 85 percent and our monthly rental collection is also above 90 percent,” she added further. In June, Marwah had announced TEC’s plan to open five new centers by March 2021 at Bengaluru, Gurugram, Chennai, and Pune with an investment of Rs 100 crore. These five centers will have a total of two lakh sq ft area and the capacity of these centers will be around 2,300 desks.”We will soon open our new center in Bengaluru comprising 35,000 sq ft of office space,” Marwah said.
TEC’s India revenue was estimated at approx USD 35 million during the last financial year. The Executive Centre is Asia Pacific’s leading premium serviced office provider. The company has over 135+ centers in 32 cities and 14 countries with an annual turnover of over USD 275 million.
The co-working or flexible workspace space segment has grown rapidly in India in the last 3-4 years. Industry experts have faith that the trend is likely to continue despite the short-term interruptions caused by the spread of coronavirus disease.
