Essar oil takes 40,000 sq ft office space on lease in Godrej BKC

MUMBAI: Essar Oil, the Essar Group’s erstwhile flagship company recently acquired by Russian energy major Rosneft, has picked up an entire office floor in Godrej Properties’ commercial building Godrej BKC on lease, said two persons familiar with the development.

The lease agreement for total 40,000 sq ft office with total tenure of five years has a rental reset clause after the third year of occupancy. While commercial properties in Bandra-Kurla Complex and off-BKC attract monthly rentals between Rs 220 and Rs 330 per sq ft, the specific rentals for this deal could not be ascertained.

“The deal was concluded recently and the company is expected to start working on fit-outs soon. It will be operating out of this facility by the end of this year,” said one of the persons mentioned above.

Currently, Essar Oil operates out of its office in Essar’s 1.25-mn-sq-ft commercial complex Equinox Business Park located near Bandra-Kurla Complex. ET has already reported that Bengaluru based developer RMZ is in the process to acquire remaining 50% in the commercial complex from Essar. Email queries to Rosneft and Essar Oil regarding the transaction remained unanswered until the time of going to press.