BNP Paribas has leased around 500,000 sq ft of office space across four floors at One Radial, a commercial complex owned by Mindspace Business Parks REIT in Chennai. The lease has been signed for a 10-year term, according to people familiar with the transaction.

Office rentals in the area are around Rs. 90 per sq ft per month. The transaction comes as multinational companies expand their global capability centres (GCCs) in India and seek large office premises. BNP Paribas could not be reached for comment, while Mindspace Business Parks REIT did not respond to queries.

Mindspace REIT has a total leasable area of 6.3 mn sq ft in Chennai across Commerzone Porur, Commerzone Pallikaranai and One Radial. Its portfolio includes 5.1 mn sq ft of completed space and 1.2 mn sq ft under construction. In Q1 FY27, the trust acquired Commerzone Pallikaranai and One Radial, each spanning 2.6 mn sq ft, alongside the 1.2 mn sq ft Commerzone Porur campus.

Chennai recorded 5.9 mn sq ft of office transactions during January-September 2026, the third-highest nine-month volume since 2018, according to Knight Frank India. The city’s vacancy rate was 8.1 per cent, while average rents increased 7 per cent year on year. Leasing rose from 1.5 mn sq ft in Q1 2026 to 2.1 mn sq ft in Q2 and 2.2 mn sq ft in Q3.

GCCs accounted for 2.5 mn sq ft, or 43 per cent, of transactions during the period, making them Chennai’s largest occupier group. India-facing businesses leased 1.3 mn sq ft, up 24 per cent year on year, while flexible workspace operators leased 1.6 mn sq ft. Grade A properties accounted for 82 per cent of transactions, and average rents reached Rs. 75.1 per sq ft per month in Q3 2026.