The subsidiary of German engineering conglomerate Siemens will pay a rent of 80 per sq ft for the new office space at Gold Hill Excelsior business park, one of the persons said. The nine-year lease term will start from March next year. The rent will be increased 8% annually for the first two years and thereafter by 5% every year.
The office can accommodate 7,000 employees and will be utilised to consolidate and expand Siemens Technology and Services’ operations in Bengaluru, the sources said.
The information technology and management services company currently has around 4,500 employees in Bengaluru. Siemens Technology and Services did not respond to ET’s emailed queries as of press time Tuesday.
The company has offices in Bengaluru, Chennai, Gurgaon, Noida and Pune.
Its research in digitalisation and automation team based out of Bengaluru focuses on affordable healthcare solutions, automation engineering, embedded systems, energy systems, software technologies, and water technologies.
Following the sluggish leasing environment due to the outbreak of Covid-19, the office segment has started seeing some traction in the third quarter with Bengaluru, Mumbai and Delhi-NCR leading the activity. “Office leasing has been more resilient than many had expected,” said Raja Seetharaman, director at real estate data solutions platform Propstack.