Embassy Industrial Parks, a joint venture between realty developer Embassy Group and private equity firm Warburg Pincus, acquired 24 acres in Gurgaon for `38 crore to set up a warehousing facility.
The warehouse on National Highway-8 near Bilaspur Chowk will have a leasable area of 6.1 lakh sq ft. “The company will invest a total of `140 crore in the project,“ said Anshul Singhal, CEO of Embassy Industrial Parks. The deal is a part of a `1,910crore pact the company signed with the Haryana government last year to expand operations in the state.
“We are looking at acquiring more land in the National Capital Region (NCR). Embassy Industrial Parks will continue building world-class facilities around Gurugram (Gurgaon) that will help multinational and domestic companies set up factory operations in the state,“ Singhal said.
The warehouse will cater to companies in third-party logistics, FMCG, ecommerce, pharmaceuticals and retail sectors.
Delhi-NCR garners almost 25% of India’s overall warehousing activity , according to Anshuman Magazine, chairman of India and South East Asia at CBRE, the transaction adviser for the deal.
“Post the goods and services tax (rollout), warehousing activity in the region will moves towards a more systematic mode of operation leading to an inflow of more institutional funding and formal sources of capital,“ Magazine said.
Embassy Industrial Parks recently invested `350 crore to build a 1.1-million sq ft industrial park at Chakan, Pune. The group is planning to invest about `1,600 crore as equity to build 7-8 industrial parks over the next six years. It is exploring opportunities in Delhi, Bengaluru, Mumbai, Ahmedabad, Pune, Ahmedabad and Kolkata. Embassy has another joint venture with Brookfield Asset Management to build warehouses on 170 acres in Chennai.
Source: Economic Times