In a bid to support its "hybrid" work model which has been widely adopted by most IT/ITes companies across India, tech giant Intel has decided to sell its office in Bengaluru, the media has reported. The Santa Clara, California-headquartered company is mulling to sell its 250,000 square feet of office space in Bengaluru's Old Airport Road. The deal is likely to fetch more than Rs 450 crore and the company is likely to enter into a lease agreement with new owners, says a report by Economic Times (ET). This is being seen as the company's attempt to monetise its real estate assets.
The deal, expected to exceed ₹450 crore is anticipated to follow a sales-cum-lease model for three years, with a one-year lock-in period for the asset, the ET report added, quoting multiple people familiar with the matter. It is to be noted that earlier in 2021, the tech giant had announced that it would adopt a "hybrid-first" model due to the coronavirus pandemic outbreak.
"As a hybrid-first company, we are continuing to assess and optimise our space utilisation to create more vibrant workspaces for our employees when they are on-site, while also achieving cost reductions. As such, we will be consolidating certain offices in Bengaluru. Bengaluru remains an important design and engineering centre for Intel, with approximately 14,000 employees based in the region," a company spokesperson was quoted as saying by the publication.
This development comes soon after Nivruti Rai, Intel India's head resigned from the company after 29 years last week. Rai would be leading the investment promotion body Invest India. She started her journey with Intel in 1994 as a design engineer. She was Intel India's head and vice-president of Intel Foundry services.
In its statement, Intel expressed gratitude to Nivruti for the remarkable progress achieved by Intel India under her leadership. Nivruti was also felicitated with Nari Shakti Puraskar in 2022 for her exceptional work in empowering women.