Cognizant to sell 20-year-old Chennai headquarters for ₹800 crore: Report

IT giant Cognizant is preparing to sell its historic headquarters in Chennai's IT Corridor, a key location for its operations. Situated in Okkiyam Thoraipakkam, the property spans 15 acres and includes 400,000 square feet of office space. According to a report by The Times of India, the sale could potentially bring in between ₹750 crore and ₹800 crore for the company.

The Chennai campus, which was the operational base for Cognizant co-founders Lakshmi Narayanan and Chandrasekaran, is historically significant for the company. It was here that Cognizant remotely rang the Nasdaq opening bell, a major milestone in its growth. This site also marks the company's first fully owned property in Chennai, a notable shift from their previous rented space in the CSI building near the US Consulate.

Cognizant has announced its intention to finalize the sale and relocate from its Chennai headquarters by December 2024. The international property advisory firm JLL has been tasked with overseeing the sale process. Negotiations with prospective buyers, including local developers like Baashyaam Group and Casagrand, are still in progress, and no agreements have been finalized.

After the sale, Cognizant’s new headquarters in India will be based at the MEPZ campus near Tambaram on GST Road. This relocation is part of a larger plan to streamline operations into three company-owned buildings at MEPZ, Sholinganallur, and Siruseri. Additionally, the company is cutting back on its leased office spaces in key Chennai areas, such as Ramanujan IT Park, DLF, and St Mary’s Road offices in R A Puram.

Recently, Cognizant Technology Solutions made headlines after it was reported that the IT services giant had given annual salary increases as low as 1 percent to some employees. Additionally, the company was said to be offering its lowest pay packages in a decade to new hires. The salary increments were implemented after being postponed by four months.