Cognizant to Sell Prime Property in Chennai for Billions
Tech giant Cognizant has announced its decision to sell its prime property located on Chennai’s IT Corridor after using it as its India headquarters for over two decades. The property, situated on a 15-acre land parcel, boasts an impressive office space spanning 400,000 square feet. Real estate experts estimate that the sale could generate a substantial amount, ranging between Rs 7.50 billion and Rs 8 billion.
JLL Appointed to Oversee the Sale
For the sale of its Chennai property, Cognizant has entrusted the international property advisory firm JLL. Known for its prowess in handling real estate transactions, JLL has already engaged in discussions with several potential buyers, including acclaimed names in the local development sector like the Baashyaam Group and Casagrand. However, it’s important to note that no agreements have been reached thus far, and the sale process is still in its early stages.
Cognizant’s Intentions and Plans
Although Cognizant spokespersons were unavailable for direct comment, market sources speculate that the company aims to conclude the sale and vacate the Chennai premises by December 2024. Following the sale, Cognizant intends to establish its new India headquarters at the MEPZ campus near Tambaram on GST Road.
Cognizant’s decision to sell the property aligns with its overarching strategy of consolidating its operations into three distinct buildings located at MEPZ, Sholinganallur, and Siruseri. This consolidation approach has led Cognizant to relinquish leased spaces across Chennai, including well-known locations such as Ramanujan IT Park, DLF, and St. Mary’s Road offices in R A Puram.
A Historical Location for Cognizant
The Thoraipakkam office holds significant historical value for Cognizant as it has served as the base for the organization’s India headquarters for the past 20 years. Co-founders Lakshmi Narayanan and Chandrasekaran have operated from this very campus, further highlighting its importance. The Thoraipakkam site also boasts distinction for hosting the moment when Cognizant remotely rang the Nasdaq opening bell, marking a remarkable event for the company.
In conclusion, Cognizant’s move to sell its prime Chennai property marks a significant chapter in the organization’s ongoing strategic realignment. With estimated revenues in the billions, this decision to consolidate operations and secure a new headquarters demonstrates Cognizant’s drive for growth and adaptation in the dynamic tech industry.
