Bengaluru: IndoSpace, which invests and develops industrial and logistics parks, and Model Economic Township Ltd (METL), a subsidiary of Reliance Industries Ltd (RIL), have jointly acquired 55 acres at Farukhnagar, in Haryana, to develop a warehousing facility.
The value of the acquisition was not disclosed. The land parcel has development potential of 1.28 million sq ft. With this, IndoSpace, which is backed by Everstone Group, GLP and Realterm, has expanded its footprint in Delhi-National Capital Region (NCR) to over 480 acres across eight industrial parks.
This is the second time IndoSpace and METL have collaborated after 2017, when the former acquired 140 acres from the RIL unit in Badli, Haryana.
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The Farukhnagar micro-market has emerged as an important warehousing and industrial location in Delhi-NCR.
Rajesh Jaggi, vice-chairman – real estate, Everstone Group, said: “We are excited to enter one of the fastest growing industrial zones in partnership with METL as we continue to evaluate opportunities across the country. METL’s expertise in developing large-scale industrial infrastructure in this micro-market will add significant value to this partnership. This project highlights IndoSpace’s focus on supporting the growth of India’s logistics sector, which will continue to expand robustly due to improved warehousing infrastructure."
Warehousing stock in top eight cities, including Delhi-NCR, Mumbai, Bengaluru, Chennai, Pune, Kolkata, Hyderabad and Ahmedabad added 27 million sq. ft to reach 238 million sq. ft. in 2020, according to a recent report by property advisory JLL. The demand is expected to grow around 160% to reach 35 million sq. ft in 2021 if the there is no renewed disruption due to factors such as the ongoing pandemic.
“We are happy to partner with IndoSpace to develop this world-class facility. This project is testimony to our pioneering efforts to attract world-class companies through best-in-class infrastructure and establish primacy of METL in the industrial and logistics map of Delhi NCR," said Shrivallabh Goyal, whole-time director and CEO, METL.
IndoSpace said the acquisition will also grow its footprint strategically across this region while attaining its long-term goal of 120 million square feet of modern logistics infrastructure across the country.
IndoSpace has a portfolio of over 41 million sq ft across 39 industrial and logistics parks under various stages of development in nine major consumption hubs in India.
