tec: Hong Kong-headquartered flexible workspace provider TEC invests Rs 50 crore to set up 8-10 centres in the country

Hong Kong-headquartered flexible workspace provider The Executive Centre (TEC) has leased over 100,000 ft across three cities as demand for managed workspace has gone up considerably, its group managing director for South Asia, and GCC Nidhi Marwah, told ET.

The company has leased, 25,000 sq ft in Bangalore, 35,000 sq ft in Chennai and 45,000 sq ft in Gurgaon and is in talks to add more space in the portfolio.

TEC has invested Rs 50 crore in the expansion and had an total outlay of Rs 200 crore for 2022-23 to set up 8 to 10 centres in the country across existing markets.

“In addition to the four new centres, we aim to cater to the accelerating demand with additional centres in 2022, supporting the expansion of our existing members, welcoming new members, and enhancing our presence in the country,” Marwah said.

While the two new centres in Bengaluru, located in UB City and Safina Towers will be operational this quarter
, the centre in

Downtown Gurugram and Olympia Tech Park in Chennai will be operational in the last quarter of 2022.

All the four centres are located across central business districts and cater to thriving niche markets in the metro cities. The expansion will cumulatively provide 1,200 workstations increasing the total workstation count in India to over 10,000.

“Most of our centres are operating at over 90% occupancy and corporates are also looking for flexible options to bring employees back to work. Corporates are also asking for specifics designs as focus is on the well-being of employees,” Marwah said.

With organisations looking to optimise their capex across and mitigate risks, flexible workspaces have gained a lot of traction as it helps organisations to provide hybrid working models for their evolving workforce in a post pandemic environment.

Additionally, the IT/ITeS sector has been hiring aggressively and recent data from Cushman & Wakefield has stated that leasing of office space in eight cities in India is expected to increase by 14 percent this year.

“As we enter a new era where hybrid work model become priority for organisations, we believe in offering an exemplary experience to our members by curating value-driven customised spaces. This helps our members to reflect their company’s identity and culture for their employees,” Marwah said.

The Executive Centre operates close to 1 million sq ft of office space spread across Mumbai, Bengaluru, Gurgaon, Pune, Hyderabad and Chennai. The company will expand first in existing cities.

“India has always been a priority region for us and our investments over the past years marks a testament to this commitment,” Marwah added.

Designed as per global standards and specifications, the centres will host a wide variety of facilities to boost productivity and promote work-life balance including private gym and state-of-the-art fitness centre, wellness rooms, mother’s care rooms, business lounge and baristas, café area.

Many organisations are looking for workspaces where they can scale up and scale down with the ease of accommodating new work cultures and schedules.

TEC started operations in Hong Kong in 1994 and now has over 150 centres in 32 cities and 14 markets. It is the third largest serviced office business in Asia.