MUMBAI: U.S. investment bank Goldman Sachs will lease 1 million square feet of office space in the southern Indian city of Bangalore to consolidate its operations, a company spokesman said on Thursday.

The new office, expected to be ready in five years, will house about 4,000 back-end office staff that work for Goldman from six premises in the city now, he said.   

"We are entering a new lease for 1 million square feet of space for a project that will open in 2017 to consolidate our presence and accommodate future growth," the spokesman told agency.   

Earlier a newspaper reported that Goldman plans to lease 1.6 million square feet of office space in the country's biggest commercial property deal by size.   

Local property company, Kalyani Developers, will construct a three-building campus for the bank on a 14-acre site, the newspaper said, citing people familiar with the transaction.   

The bank, advised by property services firm CB Richard Ellis , will pay a rent of 49 rupees per square foot a month - about 600 million rupees (USD10.7 million) a year for a million square feet, the paper said.   

Kalyani Developers was not immediately available for comment. CB Richard Ellis declined to comment.