Apple Gets Tesla As An Unwanted Neighbour In Mumbai’s BKC

Apple Inc. is set to get an unlikely, and unwanted, neighbour in Tesla Inc. as the electric carmaker readies its first India showroom in Mumbai’s Bandra Kurla Complex.

The iPhone maker, in a lease signed for its BKC store, mentions Tesla as one of the brands that cannot set up shop in Jio World Drive, documents sourced from CRE Matrix, a real estate data analytics firm, showed. Now, Tesla has signed a deal for a 4,000-square-feet space on the ground floor of Maker Maxity building next to Jio World Drive.

The distance between Apple BKC and “Tesla BKC” is 120-200 metres.

“With the exception of what is included in the Overall Shopping Centre Plan, the licensor wilt not give on license, sub-license, lease, sub-lease or any other arrangement nor allow any of the brands Listed in Schedule D to occupy any space for setting up of retail stores,” according to Apple India Pvt. Ltd.’s leave and licence agreement.

Schedule D includes brands such as Amazon, Alphabet/Google, Bose and Sony, as well as Tesla. The Licensor to Apple India Pvt. Ltd. is The Indian Film Combine Pvt. Ltd., a unit of Reliance Industries Ltd.

Opened in 2023, Apple BKC was the company’s first flagship store in India.

On Wednesday, NDTV Profit first reported that Tesla has signed a deal to open its first India showroom in BKC, Mumbai.

The Elon Musk-led electric carmaker has leased a 4,003-square feet space in Maker Maxity building, according to registration documents sourced from CRE Matrix. The licensee is Tesla India Motor & Energy Pvt. Ltd., which has an office at Panchsheel Business Park in Viman Nagar, Pune. The licensor is Univco Properties LLP. 

Tesla India has put down Rs 2.11 crore as security deposit for the space, and will pay Rs 35.26 lakh as monthly rent, the registration documents showed. The rent will increase at the rate of 5% per annum. The rent agreement is for a period of five years.

To be sure, Tesla India’s is the biggest commercial real estate deal of its size in the country,  eclipsing Apple India’s BKC store. The Model Y maker is leasing 4,003 square feet at Rs 881/square foot, as against Rs 738/square foot paid by the iPhone maker. 

“Tesla BKC” would also be the most expensive car showroom in India.

In Bandra Kurla Complex, ground floor rentals of car showrooms are in the range of Rs 360-400/square foot, according to CRE Matric. In Maker Maxity, that range stands at Rs 280-500. Tesla, at Rs 881/square foot, is paying mall-level rentals in an office space.