Axis Bank, the country’s third-largest lender, is set to have its own headquarters (HQ) soon. The bank is close to finalising a deal with the Wadias to move its headquarters from the leased premises at Maker Towers in Cuffe Parade to the sprawling Bombay Dyeing mill complex at Parel in central Mumbai.
While the deal size could not be ascertained, sources said the cost could be over Rs 500 crore. HDFC Realty is said to be advising the bank on the transaction.
When contacted, a bank executive confirmed that the deal had been nearly finalised. The going rate in the area was around Rs 13,000 per square feet, property consultants said.
Axis Bank has been on the lookout for acquiring a corporate headquarters for the last few years. However, the bank’s board had earlier turned down a proposal, citing high real estate cost. The proposal was revived after Shikha Sharma took charge last year.
Axis Bank is the latest in a series of financial sector companies to move out of the south Mumbai business district. A few months ago, JPMorgan shifted its India headquarters to Kalina, which is next to the Bandra-Kurla Complex (BKC). Swiss banking major UBS, too, has moved to BKC, which houses the headquarters of ICICI Bank, Citi, Bank of Baroda, Bank of India, Dena Bank and UTI, among others.
HDFC Bank, IndusInd Bank and Aditya Birla Financial Services would be Axis Bank’s neighbours, while private equity player KKR is also expected to move into the nearby Peninsula Complex.