Hyderabad Commercial Market Gains Momentum with Smartworks Lease Deal
Hyderabad: Flexible workspace provider Smartworks has renewed its lease for approximately 2.3 lakh square feet of office space in Hyderabad, reinforcing confidence in the city’s commercial real estate market and growing demand for premium office infrastructure.
According to property transaction documents, the company has renewed its lease for 230,846 square feet in the Aurobindo Galaxy building, owned by Raidurgam Developers. The five-year agreement carries a total rental commitment of around ₹121 crore. Under the renewed agreement, Smartworks will pay a monthly rent of approximately ₹1.75 crore and has deposited ₹4.57 crore as security. The lease, which commenced on March 1, 2026, covers office space across the eighth, ninth and tenth floors of the commercial tower. The new lease reflects an increase in rental rates compared to the previous agreement. While the earlier lease period from 2021 to 2026 was signed at ₹65 per square foot, the renewed contract raises the rate to nearly ₹75.9 per square foot. The agreement also includes an annual rent escalation of 15 percent.
The renewal comes as Smartworks pursues aggressive expansion plans across major urban markets. The company aims to increase its operational footprint by nearly 30 percent during FY27, building on its existing portfolio spread across India and Singapore. Industry analysts view the Hyderabad lease renewal as another indicator of the city’s strong position in India’s office space market. Demand for Grade A office assets continues to remain robust, supported by technology firms, global capability centres and flexible workspace operators seeking high-quality commercial locations.
Smartworks currently operates 66 centres across 15 cities with a portfolio spanning 16.1 million square feet. The company leases large office spaces from developers and offers managed workspaces to corporate clients. The transaction highlights Hyderabad’s continued appeal as a leading commercial and technology hub, with sustained demand for modern office infrastructure and flexible workplace solutions.
