Welspun One Logistics Parks (WOLP), a pan-Indian asset management and development platform and part of the Welspun Group, has acquired 40 acres of land to set up a large-scale warehouse on the Malur road- Hosur in Tamil Nadu.
With a development potential of 1 million square feet and a total project cost of Rs 300 crore, the facility will serve the industrial and warehousing demand of the Bengaluru Metropolitan Area (BMR), Welspun said in its press release. ‘today.
While the warehouse will serve the metropolitan area of ââBengaluru, its location is in Tamil Nadu but closer to the city of Bengaluru in Karnataka.
Bengaluru has historically been a shortage of warehousing supply market with a limited presence of institutional developers in the Category A space; However, demand has seen a significant increase in the wake of the post COVID e-commerce boom.
According to research estimates from various International Property Consultants (IPC), demand for warehouse and industrial space in Bangalore is expected to reach 15-20 million square feet in the next 3 years. The acquisition comes at an opportune time, giving WOLP a leading edge while helping the company capitalize on changing customer preferences towards Class A warehouses, the statement said.
âSouth India has always been an important market for us, and this is a crucial first step towards building a presence in the region by developing the logistics infrastructure. WOLP has made significant strides in supporting the county’s warehousing network in a short period of time – from our flagship park in Bhiwandi, Maharashtra to more recent acquisitions in Farukhnagar, Haryana and Lucknow, Uttar Pradesh. Our current acquisition will deepen our fund portfolio and strengthen our vision to be a pan-Indian player in warehousing, âthe statement quoted BK Goenka, Chairman of the Welspun Group, said.
This is the first of six projects under the MoU that Welspun One recently signed with the Tamil Nadu government’s nodal agency to set up storage facilities across the region. The projects, which will be implemented under the MoU, are expected to generate direct investments of around Rs 2,500 crore for the state.