Bengaluru, 16 January, 2020

E‑commerce major Amazon is lining up one of the largest office space requirements in Bengaluru, with plans to lease about 2 million sq ft in the city as part of a massive expansion of its India operations, according to people familiar with the development. The mandate, focused largely on North Bengaluru and key IT corridors, has immediately caught the attention of leading office park developers and institutional landlords.​

Large campus-style mandate

Sources indicate that Amazon is scouting for land parcels and built office assets that can offer around 2 million sq ft of Grade‑A space, with potential to double this footprint in the future depending on business growth. The company is understood to be evaluating campus-style developments with large, contiguous floor plates that can accommodate thousands of employees across technology, back‑office and support functions.​

North Bengaluru, with its improving connectivity to Kempegowda International Airport and availability of large land parcels, has emerged as a key focus area in the search. At the same time, established IT belts such as Outer Ring Road and Whitefield remain on the radar for any immediately available or near-completion blocks that can be taken up in phases.​

Bengaluru to overshadow Hyderabad footprint

Industry executives say the proposed expansion in Bengaluru is likely to dwarf Amazon’s existing office presence in Hyderabad, which has so far been one of its largest bases in the country. The fresh leasing plan is expected to consolidate a wide range of Amazon businesses in India, including development centres, Amazon Web Services (AWS), seller services and other back‑end operations.​

Real estate consultants point out that such a large single‑city mandate signals strong confidence in Bengaluru’s talent pool and infrastructure, even as other cities like Hyderabad, Chennai and Gurugram compete aggressively for big-ticket technology occupiers. The move is also seen as part of Amazon’s broader strategy to deepen its India footprint at a time when organised retail and e‑commerce continue to expand rapidly.​

Boost for city’s office market

If concluded, the 2 million sq ft lease will rank among Bengaluru’s biggest office transactions and is expected to provide a significant boost to absorption numbers in 2020. Developers with ready or near‑ready stock in North Bengaluru and other emerging corridors are likely to benefit the most, particularly those able to structure long‑term leases with expansion options.​

Market watchers believe the deal could tighten vacancies in preferred micro‑markets and support steady rental growth for high‑quality office parks. For the wider ecosystem, Amazon’s expansion is expected to generate additional demand for residential, retail and hospitality assets around its chosen locations, further reinforcing Bengaluru’s position as India’s leading technology and e‑commerce hub.​

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