Cognizant Sells Chennai Property as Part of Its Asset-Light Strategy

Cognizant has strategically sold its 13.68-acre property in Okkiyam Thoraipakkam, Chennai for ₹612 crore. This decision supports the company’s transition to an asset-light business model, focusing on cost efficiency and operational agility. The Chennai campus has been a significant part of Cognizant’s journey, even serving as the backdrop for its Nasdaq opening bell event.

Why Did Cognizant Sell Its Chennai Property?

The sale is part of Cognizant’s global real estate reduction initiative, aiming to reduce 11 million square feet of office space and save $400 million within two years. To enhance efficiency, the company is centralizing its workforce into three primary campuses:

• MEPZ (near Tambaram)
• Sholinganallur
• Siruseri

This consolidation aligns with the growing adoption of hybrid and remote work models, reducing reliance on large office spaces.

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Who Purchased Cognizant’s Chennai Property?

The land was acquired by Bagamane Group, a renowned real estate developer specializing in IT parks and commercial infrastructure. The group plans to redevelop the area into high-rise mixed-use spaces, complementing Chennai’s expanding IT sector.

Cognizant’s Move Towards an Asset-Light Future

Leading IT firms like TCS, Infosys, and Wipro are adapting to shifting work trends by downsizing office spaces. The rise of digital transformation and flexible workspaces has made large physical offices less essential. Cognizant’s decision aligns with the industry’s focus on cost optimization, flexibility, and modern workforce needs.

Impact of the Sale on Chennai’s IT Hub

This transaction is expected to reshape Chennai’s IT corridor, attracting new commercial investments and fostering economic growth. Additionally, Cognizant’s restructuring will reinforce its competitiveness in the evolving IT landscape. As Cognizant sells Chennai property, it signifies a broader shift in the IT sector. The transition towards an asset-light strategy showcases the future of IT workplaces—leaner, more efficient, and adaptive to modern work culture.