New Launch - India Real Estate Report 2026.
Tech Mahindra has signed a 10-year lease agreement for nearly 4 lakh square feet of office space at an IT park in Hyderabad in a deal valued at approximately ₹410 crore in rental commitments. The transaction underlines the continued strength of Hyderabad's commercial real estate market and reinforces the city's position as one of India's leading technology and office destinations.
The large-scale lease agreement comes at a time when major technology companies are increasingly consolidating operations and expanding their office footprints in key business centres. Hyderabad has emerged as one of the preferred locations for corporate occupiers due to its strong infrastructure, competitive operating costs and deep talent pool.
One Of The Major Office Leasing Transactions
The lease involves nearly 4 lakh sq ft of office space within a Hyderabad IT park and will remain in effect for ten years. The long-term nature of the agreement highlights growing confidence among large technology companies in maintaining and expanding their physical office presence despite evolving workplace strategies.
Large office transactions of this scale are often considered indicators of sustained demand in commercial property markets. They also reflect occupiers' commitment to long-term business operations and workforce expansion in strategic locations.
Hyderabad Continues To Attract Technology Investments
Hyderabad's commercial real estate market has consistently ranked among India's top office destinations alongside Bengaluru, Delhi-NCR and Pune. The city has attracted significant investments from technology firms, global capability centres and multinational corporations over the past decade.
Several factors continue to support Hyderabad's appeal, including modern office infrastructure, availability of Grade A office spaces, well-developed IT corridors and robust connectivity. The city also benefits from a favourable business environment that has encouraged major corporations to establish and expand their operations.
The latest leasing transaction further strengthens Hyderabad's reputation as a preferred hub for technology companies seeking large office spaces that can accommodate future growth requirements.
Positive Outlook For Commercial Real Estate
The Indian office leasing market has demonstrated resilience in recent years, with technology companies, global capability centres and financial services firms remaining among the largest occupiers of commercial spaces. Industry experts believe that high-quality office assets in major cities will continue to attract strong demand as businesses focus on operational efficiency and workforce collaboration.
Large office leasing transactions also generate positive spillover effects for local economies by supporting employment generation, service industries and infrastructure development in surrounding areas.
Implications For Hyderabad's Office Market
The ₹410 crore lease deal highlights the city's growing significance within India's commercial property landscape. The transaction demonstrates that despite changing workplace dynamics, large occupiers continue to view premium office spaces as strategic assets that support long-term business objectives.
As Hyderabad continues to attract investments from domestic and global companies, the city's commercial real estate sector is expected to remain an important contributor to economic activity and urban development.
Key Highlights
- Tech Mahindra has leased office space in a Hyderabad IT park.
- The company signed a 10-year lease agreement for nearly 4 lakh square feet of office space.
- Hyderabad's commercial real estate market continues to attract major corporate occupiers.
- The Indian office leasing market remains supported by technology and multinational companies.
- The ₹410 crore lease deal reinforces Hyderabad's position as a leading office destination in India.
The latest transaction reflects sustained confidence in Hyderabad's office market and highlights the city's growing importance as a technology and business hub. Large-scale leases such as this continue to strengthen demand for premium commercial spaces and support the long-term growth of India's office real estate sector.
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