Hyderabad Chubb Expands Office Space With ₹115 Crore Lease
Hyderabad: Global insurance company Chubb is expanding its presence in Hyderabad’s western office market, leasing around 1.68 lakh sq ft of additional commercial space in Madhapur for a total rent commitment of approximately ₹115 crore.
The latest transaction covers three floors in the Octave Block at Salarpuria Knowledge City, according to property registration documents. Chubb has taken the 12th, 14th and 16th floors, adding to the 15th floor it had leased at the same development in 2022. The newly leased space measures 168,576 sq ft of chargeable area. The leases for the 12th and 14th floors run for five years, while the agreement for the 16th floor has a two-year term. The starting rent is recorded at ₹132.80 per sq ft per month, translating to a monthly rental outgo of roughly ₹2.24 crore. The agreements also include a 5% annual escalation clause. Chubb has provided a security deposit of approximately ₹21.24 crore, according to the registration documents.
With the latest expansion, Chubb’s total office footprint at Salarpuria Knowledge City has increased to around 2.19 lakh sq ft. The transaction adds to a series of large office leases recorded across Hyderabad this year. The expansion comes as Hyderabad continues to strengthen its position as a major corporate office and Global Capability Centre destination. Madhapur, Kondapur and the Financial District remain among the city’s most active commercial clusters. Recent leasing activity indicates that large companies are continuing to commit significant office space in the city. In July, ArcelorMittal expanded its Global Capability Centre footprint by leasing more than 82,000 sq ft in the Financial District. Earlier this year, Accenture leased more than 10 lakh sq ft at Aparna Technopolis in Kondapur for a 10-year term, with the total rental commitment exceeding ₹1,000 crore. These transactions point to sustained demand for large-format office space from multinational companies and technology-led businesses.
For Hyderabad, the trend has implications beyond commercial real estate. Large office commitments can support employment growth and increase demand for housing, public transport, roads, retail and other services around major employment districts. However, continued office expansion also puts pressure on the city’s western corridor. Traffic congestion, last-mile connectivity and dependence on private vehicles remain important urban planning concerns. As commercial density rises, transport capacity and pedestrian infrastructure will need to develop alongside office supply. The Chubb lease therefore adds another significant data point to Hyderabad’s evolving commercial property market. Continued corporate expansion could support demand for quality office assets, while the city’s ability to provide efficient and sustainable connectivity will increasingly shape the long-term attractiveness of these business districts.
