BlackRock Inc., the world’s largest asset manager, has leased over 1.65 lakh sq ft of office space in Mumbai’s western suburb of Goregaon to establish its Global Capability Center (GCC). The long-term lease, spanning over ten years, is for three floors in the commercial complex Commerz III, developed by Oberoi Realty.
The lease agreement, registered last week, entails a monthly rental of over Rs. 2.6 crore, taking the total deal value to nearly Rs. 400 crore, inclusive of other charges. The contract includes a rental escalation clause of 15% every 36 months and a lock-in period of five years. As part of the agreement, BlackRock will have exclusive access to over 90 car parking slots in the tower.
The new office is part of BlackRock’s expansion strategy in India, where the company has been strengthening its presence. In August, the firm leased 42,700 sq ft of office space in a commercial tower in Mumbai’s Worli locality for five years. BlackRock, which started its India operations in 2008, provides investment solutions, including mutual funds, exchange-traded funds (ETFs), and portfolio management services, catering to institutional and retail clients. The company has offices in Mumbai, Gurugram, and Bengaluru.
ET’s email queries to BlackRock and Oberoi Realty remained unanswered, while transaction advisor JLL India declined to comment. The US-based financial services firm has been actively expanding in India through strategic investments and partnerships. In July 2023, BlackRock and Jio Financial Services (JFS), a subsidiary of Reliance Industries, announced a 50:50 joint venture, Jio BlackRock, to offer technology-driven investment solutions. In October, the joint venture secured in-principle approval from SEBI to establish a mutual fund business in India.
India’s office real estate market has witnessed strong demand, particularly from multinationals setting up GCCs. The Union Budget 2025-26, announced on Saturday, introduced incentives for GCCs, including streamlined international taxation and expanded safe harbour rules. The proposed block-period approach for transfer pricing assessments aims to provide regulatory certainty and reduce litigation for multinationals operating in India.