Dow Chemical Leases 2.56 Lakh Sq Ft Office Space in Navi Mumbai’s Mindspace Airoli
Dow Chemicals International secures a 10-year lease for over 2.56 lakh sq ft of office space in Navi Mumbai’s Mindspace Airoli, marking one of the largest recent transactions in the city's IT and business parks segment.
Dow ChemicalNavi MumbaiOffice LeaseIt ParkReal EstateReal Estate MumbaiAug 15, 2025
The US-headquartered chemical major has leased five floors, from the 2nd to 6th, in one of the towers of Mindspace Special Economic Zone, owned by Mindspace Business Parks. The company is expected to pay around Rs 250 crore in rentals over the entire term of the lease.
The lease, which begins on 15 September, will see Dow Chemical paying a monthly rental of Rs 1.64 crore, translating to Rs 64 per sq ft on the chargeable area. The agreement includes a clause to escalate rentals by 5% annually. Additionally, the transaction involves a security deposit of Rs 14.77 crore.
Beyond the standard lease terms, the deal includes a fit-out security deposit of Rs 82.09 crore, which will be refunded in tranches of 10% each year. There is also a fit-out rent of Rs 29.45 per sq ft per month, with no escalation throughout the term, as per documents accessed through realty data analytics firm Propstack.
This significant transaction underscores the robustness of the commercial office market in the MMR, especially in large-format, high-quality spaces catering to multinational occupiers. Despite the rise of hybrid work environments, global corporates are increasingly consolidating their operations into technology hubs like Navi Mumbai. Such deals point towards sustained demand and confidence in India's medium- to long-term growth story.
Industry experts tracking the segment believe that high-value, long-tenure leases in established business parks indicate occupiers’ confidence in India’s economic prospects and their commitment to scaling local operations. While ET's email queries to Dow Chemicals and Mindspace Business Parks remained unanswered, the broader market trends support this positive outlook.
India’s commercial office market saw a landmark performance in the last financial year, with leasing activity reaching an all-time high. This surge was driven by a combination of expansion plans by global and domestic occupiers, portfolio consolidation, and the preference for high-quality, well-connected office spaces in major business hubs. The momentum is expected to continue into 2026, supported by sustained demand from key sectors such as global capability centres (GCCs), banking, financial services and insurance (BFSI) institutions, flexible workspace operators, and leading Indian technology companies. These sectors continue to account for the largest share of fresh leasing and renewals, underpinned by India’s cost competitiveness, skilled workforce, and strong digital infrastructure.
Frequently Asked Questions
What is the size of the office space leased by Dow Chemicals in Navi Mumbai?
Dow Chemicals has leased over 2.56 lakh sq ft of office space in Navi Mumbai's Airoli locality.
How long is the lease term for Dow Chemicals in Navi Mumbai?
The lease term for Dow Chemicals is 10 years, starting from 15 September.
What is the monthly rental amount for Dow Chemicals in the leased space?
Dow Chemicals will pay a monthly rental of Rs 1.64 crore, translating to Rs 64 per sq ft on the chargeable area.
What is the total estimated rental payment over the lease term?
The total estimated rental payment for Dow Chemicals over the 10-year lease term is around Rs 250 crore.
What additional terms are included in the lease agreement?
The lease agreement includes a security deposit of Rs 14.77 crore, a fit-out security deposit of Rs 82.09 crore (refundable in tranches of 10% annually), and a fit-out rent of Rs 29.45 per sq ft per month with no escalation.
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