McDonald’s Leases Office Space in Hyderabad for ₹1.43 Crore Monthly Rent to Set Up Global Capability Centre
McDonald’s Capability Center India Private Limited has taken a significant step in expanding its operations in India by leasing 1.56 lakh square feet of office space in Hyderabad’s Hitec City. The leased property, located in RMZ Nexity’s Tower 20, will serve as the company’s first Global Capability Centre (GCC) in the country. The lease agreement spans a period of five years, with a monthly rent of ₹1.43 crore. This commercial real estate transaction reflects a broader trend of multinational corporations deepening their presence in India by establishing centralized operational hubs.
According to documents reviewed by Propstack, a data analytics firm, McDonald’s has agreed to pay ₹92 per square foot for the leased space. The transaction includes four full floors within the commercial building, and the company has deposited ₹8.6 crore as security. The lease began on February 1, 2025, and includes a 15% rent escalation that will come into effect from February 1, 2028. The landlord for this lease is Prahitha Constructions Private Limited. The companies involved have yet to issue official statements, though email queries have been sent for further comment.
The establishment of a Global Capability Centre by McDonald’s aligns with the growing preference of multinational companies to centralize their support functions such as finance, analytics, human resources, IT, and customer support in India. The country has long been recognized for its cost efficiencies and deep pool of skilled talent. In recent years, cities like Hyderabad, Bengaluru, and Pune have emerged as key destinations for such centers due to their infrastructure, business-friendly policies, and access to a trained workforce in emerging technologies.
Hyderabad, in particular, has seen a steady increase in demand for Grade-A office spaces. According to a recent CBRE report, Hyderabad accounts for about 15% of India’s total office stock and over 18% of the country’s green-certified commercial space. The city’s office stock is expected to exceed 200 million square feet by 2030. The steady influx of global companies is driven not only by economic factors but also by the city's growing reputation as a hub for technology and innovation. In 2024 alone, Hyderabad witnessed 12.3 million square feet of office space absorption, underscoring its rising status in India’s commercial real estate market.
The city’s ecosystem continues to evolve with the growth of the Global Capability Centre model, which has become increasingly popular among Fortune 500 firms. The presence of talent skilled in artificial intelligence, machine learning, cloud computing, and data analytics has only strengthened Hyderabad’s appeal. McDonald’s entry into this space represents a continuation of this pattern, suggesting long-term confidence in India’s operational and workforce capabilities.
McDonald’s move also comes amid other significant real estate developments in Hyderabad. In December 2024, Facebook renewed a lease for 3.7 lakh square feet at a monthly rent of ₹2.8 crore in The Skyview complex, also in Hitec City. Additionally, Microsoft acquired a 25-acre land parcel in Mekaguda near Hyderabad for ₹181.25 crore to expand its data center capacity. These transactions further indicate the growing role of Hyderabad as a critical node in the global operations of major corporations.
McDonald’s leasing of a substantial office space is both a commercial decision and a strategic investment. It positions the company to manage its growing regional and global needs more efficiently. This development adds to the momentum Hyderabad has gained in recent years as one of the preferred destinations for companies looking to consolidate business functions in India. As more global brands follow suit, Hyderabad’s status as a leading GCC and commercial office destination appears set to strengthen in the years ahead.
