Urban Vault Adds 1.2 Lakh Sq Ft of Office Space in Bengaluru’s Central Business District to Meet Demand for Managed Workspaces

Urban Vault, one of the leading managed office space providers in India, has taken on lease 1.2 lakh square feet of office space in the central business district (CBD) of Bengaluru to meet the rising demand from corporates for premium workspace solutions. This new addition comes as companies increasingly seek flexible office spaces that offer convenience, scalability, and cost-efficiency.

Founded in 2018, Urban Vault has rapidly expanded its footprint in the managed workspace sector. The company now oversees more than 2 million square feet of office space, accommodating over 30,000 desks across various locations in Bengaluru. Urban Vault has secured prime locations in office buildings such as HM Square (formerly known as HM Icon) on Residency Road, Prestige Obelisk on Kasturba Road, and Pardhanani Wilshiren on MG Road, solidifying its presence in some of the city's most sought-after business areas.

"There is a great demand for managed office space in the CBD area of Bengaluru. We have taken space on lease in CBD from property owners to set up our facilities and meet demand for premium workspace from medium to large enterprises," Urban Vault Founder Amal Mishra stated. He noted that this expansion aligns with the company’s strategy to cater to the growing demand from corporations, particularly as Bengaluru remains a top destination for global businesses looking to establish or expand their operations in India.

As demand for flexible and managed office spaces continues to grow, Urban Vault's portfolio in the CBD of Bengaluru now spans 1.5 lakh square feet. Mishra remarked, "There is a huge demand for flex space from corporates of all sizes. We are expanding our portfolio in a big way." This expansion is driven by an increasing number of multinational companies setting up Global Capability Centres (GCCs) in major Indian cities, further fueling the need for premium office space.

"Bengaluru has an upper hand in attracting corporates looking to enter India to do business due to the availability of affordable real estate as well as skilled talent," Mishra highlighted. These factors, along with the city's established tech and business ecosystems, make Bengaluru a preferred destination for companies, especially those in the IT, financial services, and tech startup sectors.

Urban Vault’s business model revolves around providing managed office spaces, offering corporates flexibility and operational convenience. The flexibility of managed office space allows businesses to scale up or downsize as required, without the long-term commitment of traditional office leases. As Mishra explained, "Flexible workspace has become a key component in the overall real estate portfolio of corporates. They are embracing managed office spaces because of the various benefits that flex space offers." One of the primary advantages is that companies can save on capital expenditure, as they do not need to invest in infrastructure or facilities management.

"Corporates do not have to worry about managing physical infrastructure and housekeeping of their offices," Mishra added, pointing out the added convenience for businesses that can now focus on core operations instead of administrative overheads.

Urban Vault offers its managed office spaces at competitive rates, with desks priced between INR 8,000 and 10,000 per month. This pricing is attractive to a wide range of enterprises, from startups to large multinational corporations, that require office solutions in prime business districts without the high costs associated with traditional office spaces.

Looking ahead, Urban Vault has ambitious plans for expansion beyond Bengaluru. The company is set to enter Gurgaon in the next quarter, followed by Pune and Mumbai as part of its broader expansion strategy. These markets are known for their high demand for flexible office spaces, especially among fast-growing businesses and large corporations looking for agility in their office setups.

In the 2023-24 fiscal year, Urban Vault reported a turnover of more than Rs 100 crore, with an impressive profit after tax (PAT) of 18%. The company has demonstrated consistent year-over-year growth, and its occupancy levels in operational centers currently stand at 91%. These figures underscore the strong demand for managed office spaces and highlight Urban Vault's successful approach in meeting this demand.

Urban Vault’s rapid growth in Bengaluru's central business district reflects the rising need for flexible, managed office spaces, especially among corporates seeking both cost savings and adaptability. With a strong presence in prime locations and plans to expand into new markets like Gurgaon, Pune, and Mumbai, the company is preparing itself to meet the increasing need for premium workspaces across India.