Tesla Inc., the global leader in electric vehicles (EVs) headed by Elon Musk, is finally entering the Indian market in 2025. With its first retail footprints being established in Mumbai and Delhi, the company is set to make a bold statement with high-value leases and strategic locations. Reports indicate that the launch will coincide with the arrival of its flagship Model Y vehicles from China, paving the way for Tesla’s official entry into the world’s third-largest automobile market.
Mumbai Showroom: India’s Most Expensive Auto Retail Lease
Tesla’s Mumbai presence will be marked by a landmark lease deal in the prestigious Maker Maxity commercial complex at Bandra Kurla Complex (BKC)—India’s most premium commercial hub. Key details include:
- Space Leased: 4,000 sq ft with two parking spots
- Monthly Rent: ₹35.26 lakh in year one, escalating to ₹42.86 lakh in year five
- Total Lease Period: 5 years
- Effective Start Date: April 1, 2025
- Security Deposit: ₹2.11 crore
- Rent Escalation: 5% annually
This lease, registered in February 2025, is widely recognized as the most expensive showroom rental deal in India’s automotive retail history.
Managed Office Space in Phoenix Market City, Mumbai
To support its initial operations, Tesla has also acquired a co-working space for 30 seats near BKC:
- Location: Phoenix Market City
- Monthly Rent: ₹3 lakh
- Lease Duration: 1 year
- Lock-In Period: 3 months
This short-term arrangement is seen as a flexible step to enable Tesla’s early workforce to scale quickly.
Tesla’s Dedicated Service Facility in Kurla, Mumbai
Beyond its showroom, Tesla is also laying down operational infrastructure with a 24,565 sq ft vehicle service center in Lodha Logistics Park, Kurla West:
- Rent (5 Years): ₹24.38 crore
- Starting Monthly Rent: ₹37.53 lakh
- Rent Escalation: 5% per annum
- Lease Registered: May 16, 2025
- License Period Starts: April 20, 2025
- Chargeable License Period: From June 1, 2025
- Common Area Maintenance: ₹1.62 crore over the lease
- Security Deposit: ₹2.25 crore
This marks Tesla’s first Grade-A EV service center in India.
Delhi Showroom: Premium Location at Aerocity Near IGI Airport
Tesla’s second Indian showroom will be strategically located in Aerocity, near Indira Gandhi International Airport (IGI), New Delhi:
- Showroom Size: 4,000 sq ft
- Monthly Rent: ₹25 lakh
- Developer: Brookfield Group (via Rostrum Realty acquisition)
Aerocity, known for its luxury commercial developments, makes for a fitting location for Tesla’s Delhi presence.
Summary Table: Key Details at a Glance
| Location | Type | Area (sq ft) | Monthly Rent | Lease Period | Notable Feature |
|---|---|---|---|---|---|
| BKC, Mumbai | Showroom | 4,000 | ₹35.26L – ₹42.86L | 5 years | Most expensive auto showroom lease in India |
| Phoenix Market City | Office | 30 seats | ₹3 lakh | 1 year | Flexible co-working space |
| Kurla, Mumbai | Service Center | 24,565 | ₹37.53 lakh+ | 5 years | First Tesla vehicle service center in India |
| Aerocity, Delhi | Showroom | 4,000 | ₹25 lakh | Not specified | Prime location near IGI Airport |
Official Remarks
While Tesla has not issued an official public statement on the showroom deals, a source close to the development told HT.com:
“Tesla is not focused on manufacturing in India at this point. The strategy is to introduce the product, gauge market response, and set up retail and service infrastructure first.”
Union Minister HD Kumaraswamy recently confirmed:
“Tesla has expressed interest in showrooms, not in manufacturing at this stage.”
FAQ
Q1. When will Tesla officially launch in India?
A1. Tesla plans to debut in India by mid-July 2025, starting with showrooms in Mumbai and Delhi.
Q2. What is the rent Tesla is paying for its Mumbai showroom?
A2. Tesla is paying approximately ₹35.26 lakh per month initially, with a 5% annual escalation, making it the most expensive auto showroom lease in India.
Q3. Where is Tesla’s first service center located in India?
A3. Tesla’s first service center is located at Lodha Logistics Park, Kurla, Mumbai.
Q4. Has Tesla started manufacturing operations in India?
A4. No, Tesla is currently not setting up manufacturing in India. The focus is on importing vehicles and establishing sales and service networks.
Q5. Where is Tesla’s Delhi showroom located?
A5. The Delhi showroom is located in Aerocity, near IGI Airport, in a property managed by Brookfield.