Amazon Development Centre leases 3.2 lakh sq. ft. space in Chennai

Janaki Krishnan Updated - May 20, 2023 at 03:26 PM.

This move comes as Amazon continues to invest in India, including a recent $13 billion investment by Amazon Web Services for cloud infrastructure.

The leases, with a 36-month term and an option for renewal, amount to a monthly rental of approximately ₹3 crore.  | Photo Credit: PASCAL ROSSIGNOL

Amazon Development Centre has taken on lease around 3.2 lakh square feet of space in Chennai in three separate deals paying close to ₹3 crore as monthly rentals.

The space has been taken in separate blocks of Global Infocity Park, a commercial complex developed by Shapoorji Pallonji group and located in Perungudi, a commercial and residential locality in south Chennai. All the leases are for 36 months, with an option for renewal with a 15 per cent escalation on the rent, registration documents made available by data analytics firm Propstack showed.

The Shapoorji Pallonji group had developed the complex in 2013 and the average rents in the office project are around ₹98 per square feet per month.

Amazon Development Centres are engaged in software development and engineering services for the global e-commerce retailer and form its backbone. The company operates a number of entities in India, including Amazon Web Services, Amazon Business, Amazon Marketplace, and Amazon Development Centres.

While Amazon has been laying off employees in India as part of a global downsizing exercise, the company is also investing a lot in the country, which it sees as a key marketplace. On Thursday its announced an investment of $13 billion by Amazon Web Services to set up cloud infrastructure in India, its largest investment so far. Over the past decade, it has put in about $6.5 billion into building up its e-commerce business in the country.

Published on May 20, 2023 09:55

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