- Space acquired in One Golden Mile Tower
- Kokapet is becoming hot location for International IT Companies
In one of the stand out deals in the commercial real estate market in Hyderabad, semiconductor major Microchip Technology (NASDAQ: MCHP) has acquired 168,000 square feet of office space in One Golden Mile, a Grade-A commercial tower located in the business district of Kokapet. Cushman & Wakefield are the advisors for the transaction.
Microchip Technology is headquartered in Chandler, Arizona (USA) with development centers in Bengaluru, Hyderabad, and Chennai. This transaction is the first of multiple investments by Microchip to expand their research and development footprint in India. The company estimates that the newly acquired space will sustain their growth plans for the next 10 years as they continue to hire and expand at a time when other major tech companies have announced layoffs and hiring freezes. “Microchip has enjoyed significant and sustainable growth over recent years and our team in India is a critical contributor to that success. This investment is another step towards expanding our capabilities in India which in turn will drive greater long-term business opportunities regionally and globally”, said Srikanth Settikere, Vice President and MD of Microchip Technology India Pvt Ltd.
One Golden Mile (OGM) is a premium commercial property co-promoted by Aurean, Eskar, and Terminus with a total footprint of 500,000 square feet consisting of boutique office spaces and curated high-street retail. The project has been pre-certified as a LEED Gold rated building with USGBC to promote sustainability. “Our objective for this project was to create true value differentiation through design and superior specifications to enable businesses to reach their maximum potential and gain a competitive advantage” said Pushkin Reddy and Rithwik Mali, Managing Partners for One Golden Mile.
“Hyderabad is at the forefront of innovation in the semi-conductor industry and Microchip’s investment into Hyderabad reconfirms the position of the city as the preferred choice for semi-conductor firms.” said Veera Babu, Managing Director for Hyderabad office of Cushman & Wakefield.
The deal signals a positive outlook for the commercial office segment in Hyderabad and also reaffirms the belief that demand for well-designed office spaces will continue to sustain despite concerns of oversupply, remote working, and a global economic downturn. Terminus, one of the co-promoters of OGM had previously leased out ~750,000 square feet to ADP in their OneWest property in Hyderabad in 2021.
