Airbus, the global aerospace and defence leader, has leased over 650,000 sq ft of office space in Bengaluru’s Whitefield to establish its Global Capability Centre (GCC). The 10-year lease, valued at over ₹500 crore, secures an entire building in Titanium Tech Park. The facility will focus on innovation and technology initiatives for Airbus’s global operations, according to sources familiar with the matter.
The agreement includes a scalability clause, allowing Airbus to expand by an additional 150,000 sq ft after a year, bringing the total leased space to 800,000 sq ft. Furthermore, the lease includes an option to extend the tenure by another five years, making it a potential 15-year deal.
“The lease deed has been signed, and fit-out work is set to begin shortly. Total rental costs will rise once the additional space is formalised,” a source stated. The rental agreement also includes a 15% escalation every three years.
Airbus has an established and growing presence in India across commercial aviation, defence, and aerospace manufacturing. The company operates an engineering centre in Bengaluru and collaborates with Indian firms like Tata Advanced Systems and Hindustan Aeronautics Limited (HAL) on components and aircraft manufacturing.
India’s rapid growth as a civil aviation hub has driven major aircraft orders, with IndiGo and Air India alone placing over 1,000 orders from Airbus. The company is also involved in defence projects such as the C295 aircraft programme, with the first ‘Make in India’ C295 set to roll out from Vadodara in 2026.
India’s office property market continues to see robust demand, driven by global capability centres (GCCs) and flexible office spaces. The government is developing policies to incentivise GCCs, encouraging their expansion into smaller towns. Proposed initiatives include creating dedicated office zones to support large-scale operations.
With global firms increasing their presence and India’s economy remaining resilient, occupier activity in the office market is expected to grow steadily.
