Bengaluru: Morgan Stanley Advantage Services has leased nearly 160,000 sq ft of Grade-A office space at the Ecoworld business park in Bengaluru for five years at an annual rental of about Rs 23 crore.
The lease is with effect from January 10, and the office is expected to be operational from May. The property is owned by Arliga Ecoworld Business Parks.
The deal underlines the investment banking firm’s continued expansion in India and sustained demand from BFSI occupiers for premium assets in Bengaluru’s most-expensive office corridor of Outer Ring Road.
“Morgan Stanley has taken space across floors 8 and 9 of the building at a monthly rent of Rs1.92 crore, translating into a rental rate of Rs121 per sq ft per month. On an annual basis, the firm’s rental outgo works out to approximately Rs 23 crore,” according to the lease rental document shared by Propstack.
As per the lease agreement, the tenant paid a security deposit of ₹11.88 crore. The contract also provides for a 15% escalation in rentals every three years, which will increase the effective cost over the lease term, it said.
Industry experts said the deal reflects Morgan Stanley’s continued focus on strengthening its India platform, particularly in Bengaluru, which houses a large part of the firm’s technology, operations, analytics and risk management functions supporting global businesses.
“This lease signals long-term confidence in Bengaluru as a strategic offshore hub for global financial services firms,” said Propstack cofounder Raja Seetharaman. “Despite higher rentals, the Outer Ring Road continues to attract large BFSI occupiers because of its depth of talent, infrastructure and availability of institutional-grade office campuses.”
Brookfield Properties, which owns the business park, didn’t respond to email queries.
Ecoworld, one of Bengaluru’s largest business parks with about 7.7 million sq ft of leasable office space, hosts a mix of global capability centres, financial services firms and multinationals. Major tenants include Honeywell, Morgan Stanley, Standard Chartered, KPMG, Deloitte, Shell, State Street, and Cadence.
Over the past year, Morgan Stanley has been active in India’s commercial real estate market, undertaking lease renewals and incremental expansions in Bengaluru and Mumbai, largely within Grade-A office parks.
These moves align with a broader trend of global banks deepening their India presence even as they optimise office portfolios in mature international markets. In September 2024, Morgan Stanley secured one of the largest office leases in Mumbai by taking about 1.1 million sq ft across 16 floors in Oberoi Commerz III, Goregaon, on a 9.5-year lease valued at over Rs 2,100 crore.
The lease is with effect from January 10, and the office is expected to be operational from May. The property is owned by Arliga Ecoworld Business Parks.
The deal underlines the investment banking firm’s continued expansion in India and sustained demand from BFSI occupiers for premium assets in Bengaluru’s most-expensive office corridor of Outer Ring Road.
“Morgan Stanley has taken space across floors 8 and 9 of the building at a monthly rent of Rs1.92 crore, translating into a rental rate of Rs121 per sq ft per month. On an annual basis, the firm’s rental outgo works out to approximately Rs 23 crore,” according to the lease rental document shared by Propstack.
As per the lease agreement, the tenant paid a security deposit of ₹11.88 crore. The contract also provides for a 15% escalation in rentals every three years, which will increase the effective cost over the lease term, it said.
Industry experts said the deal reflects Morgan Stanley’s continued focus on strengthening its India platform, particularly in Bengaluru, which houses a large part of the firm’s technology, operations, analytics and risk management functions supporting global businesses.
“This lease signals long-term confidence in Bengaluru as a strategic offshore hub for global financial services firms,” said Propstack cofounder Raja Seetharaman. “Despite higher rentals, the Outer Ring Road continues to attract large BFSI occupiers because of its depth of talent, infrastructure and availability of institutional-grade office campuses.”
Brookfield Properties, which owns the business park, didn’t respond to email queries.
Ecoworld, one of Bengaluru’s largest business parks with about 7.7 million sq ft of leasable office space, hosts a mix of global capability centres, financial services firms and multinationals. Major tenants include Honeywell, Morgan Stanley, Standard Chartered, KPMG, Deloitte, Shell, State Street, and Cadence.
Over the past year, Morgan Stanley has been active in India’s commercial real estate market, undertaking lease renewals and incremental expansions in Bengaluru and Mumbai, largely within Grade-A office parks.
These moves align with a broader trend of global banks deepening their India presence even as they optimise office portfolios in mature international markets. In September 2024, Morgan Stanley secured one of the largest office leases in Mumbai by taking about 1.1 million sq ft across 16 floors in Oberoi Commerz III, Goregaon, on a 9.5-year lease valued at over Rs 2,100 crore.
