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Amazon Data Services is leasing a 4-acre plot of land in Mumbai, India

Aug 21, 2023 | Posted by Abdul-Rahman Oladimeji

Amazon Web Services (AWS) subsidiary Amazon Data Services (ADS) has leased a four-acre plot of land in the Mumbai suburb of Powai. This is the company's second land transaction in Mumbai in the past year. Larsen & Toubro (L&T), an Indian conglomerate specializing in engineering, construction, manufacturing, technology, and information technology (IT) services, owns the parcel.

ADS will pay an advance premium of $8.66 million and a monthly rental fee of $78,230 per acre per month, per the lease documents. The lease will be for 18 years, with a 15-year lock-in period, and L&T will transfer the land to ADS between April 2025 and March 2026.

Amazon leased the adjacent 5.5 acres of land from L&T for 21 years and six months in August 2022, with plans to construct a data center on the site. With the new lease, ADS's total rental payment for all 9,5 acres is nearly $180,500,000 throughout the lease.

ADS engaged in a new agreement in October 2022 with the subsidiary of real estate developer K Raheja Corp, Newfound Properties, to lease a commercial tower in Thane with a built-up area of 451,000 square feet for a data center. Shortly after that, the company acquired 54 acres in Thane from Kalpataru Group for more than $222.7 million with the intention of constructing a hyperscale data center.