Walmart Leases 4.6 Lakh Sq Ft in Chennai’s International Tech Park for ₹3.26 Crore Monthly
Walmart has leased 4.6 lakh square feet of office space in Chennai’s International Tech Park. The monthly rent for the leased space is ₹3.26 crore, making it one of the noteworthy leasing deals in the city in recent months. The lease documents, accessed through Propstack, reveal a five-year agreement with a structured rent escalation and a substantial deposit paid upfront.
According to the documents, the lease commenced on January 1, 2025, and will be in effect until the end of 2029. The office space spans four floors and has been rented at a rate of ₹70 per square foot per month. As is standard in commercial leases of this scale, an annual rent escalation of 4% has been agreed upon. Walmart has paid an initial deposit of ₹19.55 crore, reflecting a strong long-term commitment to its Chennai operations.
The landlord for this property is Radial IT Park Private Limited, which owns the building located within the International Tech Park, one of Chennai’s prominent commercial hubs catering to technology and multinational firms.
Why Chennai? Walmart’s Strategic Expansion
Walmart’s expansion in Chennai aligns with the company’s growing presence in the Indian retail and technology space. While its physical retail footprint in India has been limited, Walmart has been ramping up its backend operations and global technology services from India. Chennai, with its thriving IT-ITeS ecosystem, skilled talent pool, and well-developed infrastructure, presents an optimal location for business continuity, especially in technology and shared services functions.
The leased space is expected to house various functions, possibly including software development, analytics, back-office operations, and other business support activities.
Southern Cities Lead India's Commercial Leasing Momentum
Walmart’s move reflects a broader trend in India’s commercial leasing landscape—Southern cities are emerging as the key growth drivers. According to a recent report by real estate consultancy Anarock, South Indian cities have experienced significantly higher rental appreciation over the past six years compared to their northern counterparts:
- Bengaluru: 26% growth in average monthly office rents
- Hyderabad: 25% growth
- Chennai: 20% growth
- NCR (Delhi-Gurgaon-Noida): 10% growth
Chennai’s average monthly office rentals have risen from ₹60 per sq ft in 2019 to ₹75 per sq ft in 2025, showcasing steady demand for Grade A commercial spaces. Infrastructure improvements, proactive state policies, and a relatively lower cost of living continue to make Chennai attractive for global corporations.
Other Recent Commercial Deals in Chennai
Walmart’s lease is one among several large-scale transactions that underline Chennai’s growing importance in India’s commercial real estate sector:
- Cognizant Technology Solutions sold its India headquarters in Thoraipakkam, located on Old Mahabalipuram Road (OMR), to Bagmane Constructions for ₹612 crore. The property covers 5.9 lakh square feet and is spread over 13.6 acres, according to JLL, which facilitated the deal.
- In August 2024, IT services giant LTI Mindtree leased 5.85 lakh square feet of space at L&T Innovation Campus in Manapakkam. The monthly rent was ₹3.98 crore. The facility spans 13 floors, including the ground floor of Tower 1.
These transactions demonstrate continued demand for large-format office spaces, especially from tech, ITES, and global services firms, despite global macroeconomic uncertainties.
The International Tech Park where Walmart has leased its space is a part of Chennai’s IT corridor, offering proximity to key highways, metro access, and a cluster of leading tech firms. The park is equipped with modern amenities, green certifications, and robust building management systems, catering to the evolving workplace needs of multinational tenants.
Image source- inc42.com
