Tata's TCS leases commercial space for Rs 4.37 crore per month in Hyderabad, report says

Tata Group-owned IT giant Tata Consultancy Services (TCS) has leased over 10 lakh sq. ft. of office space in Hyderabad's financial district for Rs 4.37 crore per month, HT reported, citing documents accessed from the real estate data firm Propstack. 

The new office is located in Paradigm Rajapushpa, a high-rise commercial complex in the IT hub of Serilingampally Mandal. The space spans across 18 floors of the tower, which also includes five basement levels and a ground floor.

The lease agreement, registered in April 2025, officially began on October 1, 2024. The lease has a tenure of 15 years with a lock-in period of five years. TCS will pay a monthly rent of Rs 43 per sq. ft., and the rent will increase by 12% every year.

The company paid a security deposit of Rs 26.22 crore. The property is jointly owned by Rajapushpa Asset Management LLP and Paradigm Corporation Private Limited.

The first 11 months from the Lease Commencement Date (LCD) will be a rent-free period during which the lessee will not be required to pay any rent, the report said. Notably, the IT giant is allowed a total of 1,018 car parkings (806 conventional parkings and 212 mechanised stack parking slots) and 452 two-wheeler parking slots.

It's worth noting that the company has not issued any formal announcement regarding the lease agreement.

Hyderabad's rising real estate market

Hyderabad's commercial real estate market is experiencing significant growth in 2025, driven by robust demand from the technology sector and Global Capability Centers (GCCs). In the first quarter alone, the city witnessed a record absorption of 4 million square feet of office space, marking a 30% increase compared to the same period in 2024, according to Address Advisors.

Areas like HITEC City, Madhapur, Gachibowli, and Kokapet continue to be the epicentre of this growth, hosting approximately 80% of Hyderabad's office stock. Notably, HITEC City has seen a 9% rise in Grade A office rents, reaching Rs 72 per square foot per month, attributed to a tight vacancy rate of 6%.

In March 2025, McDonald's announced that it would establish its largest Global Capability Centre (GCC) outside the United States in Hyderabad. The company had secured 200,000 square feet of office space in RMZ Nexity and plans to hire more than 2,000 people over the next couple of years.