Amazon leases a third parcel in Powai, betting ₹650 crore on Mumbai's data centre boom

Amazon Data Services India has pre-leased four acres of land in Powai from Larsen & Toubro to expand its under-construction data centre campus, committing to a total rental outgo of more than ₹650 crore over a tenure of 17 years and seven months. The transaction, reported in early July, carries a starting rent of about ₹2.76 crore a month with 3 per cent annual escalation, a ₹72-crore lease premium, and runs to February 2044.

This is Amazon's third land tranche at the same campus, after 5.5 acres in 2022 and 4 acres in 2023, taking its holding at the site to roughly 13.5 acres. The expansion follows CEO Andy Jassy's June announcement of an additional 13 billion dollars for data centre capacity in Mumbai and Hyderabad, part of a planned 48 billion dollars of Indian data centre investment through 2030.

For MMR property, the significance is in the tenor as much as the ticket. Long, escalating land leases from a hyperscale tenant put a durable floor under industrial and commercial land values in the Powai-JVLR belt, and the construction and operations spend ripples into local demand for housing and services.

Data centres have quietly become one of the strongest bidders for large, power-fed parcels inside Mumbai's eastern corridor. Each new tranche tightens that supply further — a factor residential developers hunting for land in the same belt now have to price in.