Bank of China has leased an office space spread across an area of 9,300 sq ft at a rent of Rs 500 per sq ft per month at Maker Maxity, Mumbai, for five years. This indicates there is still strength in the A-grade commercial market in the financial capital, despite the slowdown.
The leave-and-licence agreementshowed that the deal was signed between Agni Commex LLP and Bank of China Ltd on March 9, 2023. This deal is an outlier in terms of commercial rentals as the average rent for Grade A commercial space in top-end commercial buildings in core Bandra-Kurla Complex is in the range of Rs 260-320 per sq ft per month. The average rent in Maker Maxity is in the Rs 445-475 per sq ft per month range.
The total area leased out is 9,268 sq ft and the security deposit is Rs 5.56 crore. The bank has taken the fourth floor of Maker Maxity located in Bandra Kurla Complex, Bandra east, Mumbai. It comes with four car parking spaces in the basement. This deal shows that properties that are most sought-after and well-maintained command higher rentals than other A-grade commercial spaces despite the global headwinds.
The agreement is from September 1, 2023, to August 31, 2028. The rent from September 1, 2023 to August 31, 2024, is Rs 46.34 lakh per month; it is Rs 48.42 lakh per month from September 1, 2024, to August 31, 2025; Rs 50.60 lakh per month from September 1, 2025 to August 31, 2026; Rs 52.88 lakh per month from September 1, 2026 to August 31, 2027, and Rs 55.26 lakh per month from September 1, 2027 to August 31, 2028.