One of the largest outright land purchases this year, Amazon Data Services India has acquired a 60 acres parcel in Thane, near Mumbai, from real estate developer Kalpataru Group for more than Rs 1,800 crore.
Seller Ananta Landmarks, an arm of Kalpataru, said:
“The deal was registered on October 21.The land parcel, located at Balkum Pada in the Majiwada area, is expected to be utilised for setting up a data center facility. This is prime land located in Thane city and surrounded by residential complexes, malls and close to Bhiwandi Road.”
Amazon Data Services had also taken on rent 4,51,037.54 square feet (sq. ft.) of office space in Thane Mumbai, at a rent of Rs 74.91 crore per year in September this year. The lease is for a period of 29 years.The monthly rent works out to be Rs 6.24 crore. The rent will increase by 3 percent every 12 months for the first 36 months, and 3.5 percent every 12 months for the last 144 months. The premises have been leased by Newfound Properties, a subsidiary of K Raheja Corp, to Amazon Data Services, in a ground-plus-7 (G+7) story building.
India’s data centre market has witnessed an investment of $14 billion in the last five years, and the cumulative funding could cross $20 billion by 2025 as investors look for assets with stable income, a recent report by CBRE titled Data Centres in India: Powering Up Real Estate in a Data-High Era has said.
The COVID pandemic has accelerated the adoption of technology and data usage has increased significantly, it said. Delhi-NCR, Pune, Hyderabad, and Kolkata accounted for the remaining 25 percent of the DC market in India. Mumbai is expected to lead the supply addition, followed by Bengaluru, Chennai, and Delhi-NCR.
