Amazon Expands Bengaluru Warehousing with Major Lease Deal

Published: May 09, 2026 | Category: real estate news
Amazon Expands Bengaluru Warehousing with Major Lease Deal

Amazon India has leased nearly 2.8 lakh square feet of warehousing space in Bengaluru’s Nelamangala industrial corridor, underscoring the sustained demand from e-commerce firms for large logistics and fulfillment infrastructure. This significant lease deal is a testament to the growing importance of robust supply chains in India’s e-commerce sector.

The transaction comes at a time when developers and institutional investors are expanding industrial and logistics portfolios across key markets, including Bengaluru, Mumbai, Delhi-NCR, Chennai, and Hyderabad. According to property registration documents reviewed by CRE Matrix, a real estate data analytics firm, Amazon Seller Services Private Limited has taken on a sub-lease of a warehouse facility known as B900 from Assetz Industrial Parks.

The property is strategically located across survey numbers 113, 114/5, 114/6, 114/7, and 114/9 in Billanakote Village, Sompura Hobli, Nelamangala Taluk, in Bengaluru Rural district. The total leased area stands at 2,78,037.2 square feet, with an initial monthly rent of ₹72.98 lakh, translating to ₹26.25 per sq ft per month.

The agreement was registered on April 7, 2026, indicating a long-term commitment from the e-commerce major. The sub-lease has been signed for nine years and includes a 5% annual rental escalation clause. According to the registration documents, the sub-lease commencement date is January 1, 2026, while rent commencement has been fixed from March 15, 2026. This provides the tenant a rent-free fit-out period of two months and 15 days. The security deposit for the transaction stands at ₹4.37 crore.

The facility also includes operational infrastructure such as 25 truck parking spaces and 150 bike parking slots, underlining the scale of the warehousing operation. Nelamangala has steadily emerged as one of Bengaluru’s key warehousing and industrial hubs due to its connectivity to national highways and access to western and northern consumption markets. The micro-market has attracted several e-commerce, logistics, and manufacturing occupiers in recent years amid rising demand for Grade A warehousing assets.

India’s warehousing sector has maintained strong momentum over the past few years, driven by growth in e-commerce, quick commerce, organized retail, and third-party logistics players. Large occupiers are increasingly opting for long-duration leases in major logistics hubs to strengthen supply chains and improve last-mile delivery efficiencies. This expansion by Amazon is a clear indication of the company’s commitment to enhancing its fulfillment and supply-chain infrastructure across major consumption hubs in India.

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Frequently Asked Questions

1. Why is Amazon leasing warehouse space in Bengaluru?
Amazon is leasing warehouse space in Bengaluru to strengthen its fulfillment and supply-chain infrastructure, which is crucial for meeting the growing demand in the e-commerce sector.
2. What is the size of the leased warehouse space?
The leased warehouse space is nearly 2.8 lakh square feet, located in the Nelamangala industrial corridor of Bengaluru.
3. What is the initial monthly rent for the leased warehouse?
The initial monthly rent for the leased warehouse is ₹72.98 lakh, translating to ₹26.25 per s
4. ft per month.
5. For how long is the lease agreement signed?
The lease agreement is signed for nine years and includes a 5% annual rental escalation clause.
6. What additional infrastructure is included in the warehouse facility?
The warehouse facility includes 25 truck parking spaces and 150 bike parking slots, enhancing its operational capabilities.