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Answers to the questions Korean companies ask most when finding offices, factories and homes in India.
AI answers are based on information researched by Adullam. For important legal, tax, HR and other decisions, please always confirm with a specialist.
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Buying & ownershipCan a foreign company buy property in India?
It depends on the entity. A branch office may buy property for its own business; a liaison office may not. An Indian subsidiary can buy like any Indian company. Companies from some countries, including China, Hong Kong and Pakistan, need prior RBI approval.
Source: RBI — FAQ on branch and liaison officesGetting startedCan we lease an office before setting up a company?
Branch, liaison and project offices of foreign companies may lease for up to five years without extra approval. Because the contracting party, tax and bank account are linked, plan it together with company setup — we handle both.
Source: RBI — FAQ on branch and liaison officesCosts & taxWhat taxes apply to rent?
Two: (1) above ₹50,000 a month the tenant withholds 10% TDS (2% for plant and machinery); (2) commercial rent carries 18% GST. Check whether quotes include GST.
Source: ClearTax — Section 194-I TDS on rentCosts & taxHow much is office rent across the seven cities?
Grade A averages (₹/sq ft/month): Mumbai 178.7, Delhi NCR 105, Bengaluru 100.6, Hyderabad 98.1, Pune 92.2, Chennai 74.5, Ahmedabad 51.6 (C&W Q3 2026 for Mumbai, Hyderabad, Pune, Ahmedabad; Knight Frank Q1 2026 for the rest). Within Mumbai, BKC is 379 and Thane 89.
Source: Cushman & Wakefield — Mumbai office Q3 2026Costs & taxHow big is the security deposit?
It's negotiated. Recent deals show offices at 3–12 months' rent and warehouses at 2–6 months: ExxonMobil Bengaluru about 3 months, Charles Schwab Hyderabad about 7, McKinsey BKC about 12, Mahindra's Pune warehouse about 2. Write refund timing and deductions clearly into the lease.
Source: Channel IAM — ExxonMobil leases ITPB Whitefield (9 Jul 2026)ContractsWhy are 11-month leases so common?
Leases over a year must be registered, with stamp duty and fees, so homes often use 11-month agreements. Multi-year factory, warehouse and office leases should be registered; unregistered ones are weak in disputes.
Source: Housing.com — is registering an 11-month lease mandatory?ContractsHow often does rent go up?
It follows the escalation clause. Bengaluru warehouses, for example, usually run 5–9 years with 15% every three years. Also check for a lock-in period.
Source: Enosh Infra — Bengaluru warehouse rents (Jul 2026)ContractsHow do I know a broker is legitimate?
Agents and platforms brokering sales must register with each state's RERA. Check the RERA number in the agreement and verify it on the state RERA website. Registration is per state and renewed every five years.
Source: IncorpX — RERA agent registrationFactories & landWhat should I check on a factory site?
Five things: title and encumbrances; zoning for your industry; available power (kVA) and water; road width and truck turning; environmental consent. We arrange Indian lawyer review and Korean translation.
Factories & landHow do I get land in a state industrial park like SIPCOT?
SIPCOT (Tamil Nadu) applications are online with a ₹10,000/acre deposit and ₹10,000 fee plus GST; foreign investors add FDI papers and get a decision within 60 days. It's a conditional allotment, not freehold. Other states have their own agencies such as KIADB (Karnataka) and MIDC (Maharashtra).
Source: Verified Real Estate — SIPCOT allotment explainedChoosing a cityWhich cities have the most factory and warehouse demand?
Per Cushman & Wakefield, H1 2026 industrial and logistics leasing was led by Delhi NCR (8.7M sq ft), Chennai (6.1M) and Pune (5.9M). Chennai set a half-year industrial record and Pune grew 33%.
Source: Cushman & Wakefield — H1 2026 industrial & logisticsChoosing a cityWhich city suits an IT or R&D office?
Bengaluru is India's largest office market with 25% of leasing in Jan–Sep 2026. Hyderabad is second at 13.1M sq ft, with Q3 up 92% year on year.
Source: Business Standard · Knight Frank — office 9M 2026Expat housingHow do we find a home for expat staff?
We prioritise homes near schools, hospitals and malls, shortlist apartments, villas or houses (furnished or not), review and translate the lease, and help with utilities, internet and bank accounts. Rent above ₹50,000 a month triggers TDS.
Getting startedWe're in Korea — do we need to visit?
Not necessarily. We run video site tours and handle documents and negotiation locally. For large deals such as factories, we recommend one visit before deciding.
Getting startedIs the consultation paid?
The first consultation is free, and we send a shortlist within three business days. Fees depend on the deal type and scope and are explained during consultation.
Costs & taxWhat costs come on top of rent?
Recurring extras such as CAM, power infrastructure recovery, insurance and municipal levies typically add 20–35% to quoted rent. One-time costs are the deposit, stamp duty and registration, and your fit-out. Commercial rent also carries 18% GST.
Source: Verified Real Estate — warehouse lease economics, ChennaiCosts & taxCan we get a rent-free period?
Yes, on larger deals. SMBC got nine rent-free months on a five-year BKC lease, and Amazon got 24 months spread over a 17-year Powai land lease. Ask for at least your fit-out period; bigger and longer deals get more.
Source: TradingView — SMBC leases BKC office (Oct 2026)Costs & taxWhat's the difference between carpet and super built-up area?
Carpet is the usable area inside the walls; built-up adds walls and balconies; super built-up adds your share of common areas. Loading runs 40–45% in Mumbai and 35–41% in Bengaluru and NCR, so 10,000 sq ft super built-up may be about 6,000 usable. Check which area the rent is quoted on.
Source: Peerless — carpet vs built-up vs super built-up (27 May 2026)Costs & taxHow do lakh, crore, sq ft and sq m convert?
1 lakh = 100,000 and 1 crore = 10 million rupees (100 lakh). 1 sq m ≈ 10.76 sq ft; 1 acre = 43,560 sq ft (≈4,047 sq m). Government plot rates are usually ₹/sq m, rents ₹/sq ft/month, and large land prices crore per acre.
Costs & taxHow much do warehouses and factories rent for by city?
In ₹/sq ft/month: Bhiwandi (Mumbai) 23, Chakan (Pune) 28 (factories 31), Sanand (Ahmedabad) 23–26, Medchal (Hyderabad) 23, Manesar (NCR) 22–38. Eicher signed at 21.06 in Sriperumbudur, Chennai this year. See each city page for more.
Source: Cushman & Wakefield — Mumbai industrial H1 2026Costs & taxWhere are shop rents highest?
Ground-floor rents (₹/sq ft/month): Khan Market, Delhi 1,700–1,800; Galleria, Gurugram 1,250–1,350; Linking Road, Mumbai 1,175; Commercial Street, Bengaluru 430; JM Road, Pune 420; Sindhu Bhavan Road, Ahmedabad 273; Jubilee Hills, Hyderabad 250; Anna Nagar, Chennai 210.
Source: Outlook Business · Cushman & Wakefield — Delhi NCR high-street rents (Q2 2026)ContractsHow long are typical leases?
Offices usually run 3–10 years: ExxonMobil Bengaluru 3, Charles Schwab Hyderabad 5, IBM Gurugram 10, and IndiQube signed 15 in Chennai. Warehouses and factories commonly run 3–9 years, longer for build-to-suit.
Source: Channel IAM — ExxonMobil leases ITPB Whitefield (9 Jul 2026)ContractsWhat is a lock-in period?
During the lock-in you owe rent even if you leave. Infosys took a three-year lock-in on a ten-year GIFT City lease. Build-to-suit deals lock in longer to repay the landlord's capex. Keep it short if plans may change, and fix the notice period.
Source: The Realty Today — Infosys 10-year lease in GIFT City (Jun 2025)ContractsCan we sub-lease space?
Yes. HSBC sub-leased about 200,000 sq ft in Gachibowli from a flex operator this year. The head lease must allow it and you need the landlord's consent; your sub-lease ends with the head lease.
Source: Constro Facilitator — HSBC sub-leases in Gachibowli (10 Jul 2026)ContractsCan head office in Korea pay rent directly?
It depends on the contracting party. If an Indian subsidiary or branch signs, pay from its Indian account and handle TDS and GST locally. Direct leases by foreign companies are limited (e.g. up to five years), so decide this alongside company setup with your accountant.
Source: RBI — FAQ on branch and liaison officesBuying & ownershipWhat stamp duty applies when buying?
It varies by state. Stamp duty plus registration is about 6.5% in Maharashtra (Mumbai, Pune), 12% in Tamil Nadu (Chennai, the highest) and 4% in Delhi; commercial property generally runs 7–9%. We reconfirm current rates before you sign.
Source: TaxGarden — state-wise stamp duty on purchase (31 Aug 2026)Buying & ownershipIs there TDS when buying property?
Yes. If the price is ₹50 lakh or more, the buyer withholds 1% and pays it to the tax department (now section 393 of the new Act from April 2026, same rate). If the seller is non-resident, section 195 applies and the rate can be much higher.
Source: TDSMan — TDS on purchase of property (12 May 2026)Expat housingCan a Korean expat buy a home in India?
A foreign national who becomes resident in India under FEMA (living here for work) can buy. Non-resident foreigners generally cannot, though they may lease for up to five years. Citizens of some countries, including China and Pakistan, need RBI approval; Korea isn't on that list.
Source: Verified Real Estate — RBI property rules for foreigners and NRIs (15 Oct 2025)Buying & ownershipCan we buy farmland and build a factory?
We don't recommend it. Foreigners and NRIs can't buy agricultural, plantation or farmhouse land, and Indian companies face state limits and slow conversion to non-agricultural use. Industrial parks or already-converted land are faster and safer.
Source: Verified Real Estate — RBI property rules for foreigners and NRIs (15 Oct 2025)Buying & ownershipHow do we check a building is legally complete?
Ask for the Occupancy Certificate, the civic authority's confirmation that the building matches approved plans and passed fire and structural checks. Without it, utilities may not be legal, insurance claims can be refused and you risk eviction; corporate audits often ask for it.
Source: Brigade — occupancy certificate for offices (19 Feb 2026)Buying & ownershipCan we buy an office under construction?
Yes, but first confirm the project is registered with the state RERA, where you can check progress, completion date and approvals. Brokers also need RERA numbers. Delays are common, so add delay compensation to the agreement.
Source: IncorpX — RERA agent registrationFactories & landHow fast must we build on an MIDC plot?
MIDC requires building approval within a year of possession and completion within 2–5 years depending on plot size and area class. Extensions cost up to 25–40% of the prevailing rate per year, and MIDC can resume the plot after the last one. Other states have similar rules.
Source: ASCC — MIDC development period and extensions (2020)Factories & landGovernment park or private land — what's the difference?
Government parks come with roads, power and water at below-market rates, but allotments are conditional and take months. Private land is faster and less restrictive, but you must verify title, zoning and infrastructure yourself. First-time entrants often start with government parks.
Factories & landAre industrial land prices rising?
Yes. In H1 2026 industrial land rose 26–29% in Pune, about 12% in Hyderabad and 9–15% in Ahmedabad; TTC and Taloja near Mumbai rose 15–20%. If you plan to expand, consider securing extra land early.
Source: Cushman & Wakefield — Pune industrial H1 2026Factories & landHow do we bid in an HSIIDC auction?
HSIIDC runs e-auctions on hsiidc.bidx.in. Register and pay an EMD of 5% of the reserve price, then bid online. You need a valid PAN, and companies still under incorporation are excluded, so set up the Indian entity first.
Source: eAuctionsIndia — HSIIDC industrial plot e-auctions (Oct 2026)Factories & landHow much is a factory plot in Sanand, Gujarat?
GIDC's FY2026-27 rates: Sanand-II (Bol) ₹6,070/sq m, Khoraj ₹6,210 (tentative), the Japanese zone at Mandal ₹4,260. Private industrial land in Sanand trades at about ₹2.8–4 crore an acre.
Source: GIDC — allotment prices FY2026-27Factories & landWhere should semiconductor or electronics plants go?
Near Ahmedabad, Bavla and Sanand saw industrial leasing driven entirely by high-tech and semiconductor makers this year. Hyderabad has Fab City, and TGIIC is planning a dedicated semiconductor park at Thimmapur. We compare power and water once you shortlist.
Source: Cushman & Wakefield — Ahmedabad industrial H1 2026Choosing a cityWhere do Korean companies usually go?
Chennai, home to Hyundai and Samsung plants, has the most Korean suppliers. Hyundai also started its Talegaon (Pune) plant in 2025 and announced another $15.5 billion of investment through 2032. Offices cluster in Delhi NCR (Gurugram) and Bengaluru.
Source: Business Today — Hyundai's $15.5bn India plan (13 Oct 2026)Choosing a cityMumbai offices are expensive — alternatives?
Rents vary hugely: Grade A BKC 379 and Worli 357 versus Thane 89, Thane-Belapur Road 78 and Vashi 106. Many firms keep a small client-facing office in BKC and staff in Thane or Navi Mumbai.
Source: Cushman & Wakefield — Mumbai office Q3 2026Choosing a cityCan we start in a co-working office?
It's a good option. CBRE says flex operators became the largest driver of Indian office demand this year. Many companies start in flexible, furnished space with short terms and move to a conventional lease as headcount grows.
Source: NewKerala · CBRE — record Jan–Sep office leasing (1 Oct 2026)Choosing a cityHyderabad or Bengaluru?
Jan–Sep office leasing rose 50% in Hyderabad and fell 26% in Bengaluru (off a high base). Rents are similar: Grade A averages of 98.1 and 100.6. Bengaluru has the deeper talent pool; Hyderabad has more new supply and active state support.
Source: The Hans India · Knight Frank — Hyderabad vs Bengaluru (17 Oct 2026)AI answers are based on information researched by Adullam. For important legal, tax, HR and other decisions, please always confirm with a specialist.
Questions and answers are kept for 90 days and are sent to an AI provider outside Korea (Anthropic, USA) to generate answers. Please do not enter personal details such as names or phone numbers. Privacy Policy