Category Archives: Warehousing

Express service providers Zomato and Blink-it have leased approximately 3,08,300 square feet of space at Sumadhura Logistics Park, Hoskote Bangalore for a tenure of seven years to meet increased demand. Hoskote and East Bangalore have witnessed tremendous demand for warehousing spaces in the recent past. Sensing the opportunity, Sumadhura Logistics Park, has out of 2.2 million square feet, leased out 3 lakh sq. ft. to Zomato and they are planning to expand up to 4 million sq ft of warehousing and industrial parks in the next few years.

TVS Industrial and Logistical Parks (TVS ILP) signed MoU with the Goa Investment Promotion & Facilitation Board (Goa-IPB) for the development of a Grade A Logistics & Warehousing Park in the Verna Industrial Estate. The commitment involves an investment of ₹125 crore, marking TVS ILP’s proactive stance in fostering industrial growth in the state. “Spanning an area of 15-20 acres, the project anticipates providing direct employment for 250 individuals and creating indirect opportunities for up to 1000 people, thereby contributing significantly to job creation in the local community. TVS ILP’s mission is to cater to the existing industries in Goa while enticing potential investors in critical sectors. The collaboration with the Government of Goa, as signified by the MoU signing, showcases TVS ILP’s dedication to enhancing the state’s industrial landscape,” reads the release. Dr. Ramnath Subramaniam, CEO of TVS ILP, said, “Our partnership with Goa-IPB is a significant milestone for TVS ILP. The Central Government has been making investments in Goa’s infrastructure, making it an attractive business destination. This MoU will help put Goa on the map for many businesses that require specialized warehousing solution. By aligning with the government’s vision, the logistics park aims to become a catalyst for economic growth, fostering industrialization and generating employment opportunities for skilled and semi-skilled talent in the state.”

Mahindra Logistics inaugurated a 1 lakh sq. ft. extension to its existing multi-client warehouse in Nashik and also announced the development of a new 3 lakh sq. ft. warehousing facility, thereby expanding its overall warehousing footprint to 5 lakh sq. ft. in Nashik, Maharashtra. This will be the largest warehousing space offered by any service provider in Nashik. The new facility is scheduled to become operational by the end of Q3 2024. The state-of-the-art facilities will significantly enhance Mahindra Logistics’ pan-India network of multi-client warehousing network. Mahindra Logistics manages the distribution of auto components for production plants located in Nashik, Igatpuri and Mumbai for an Auto OEM customer from its existing warehouse. The new facilities will offer inbound logistics and distribution solutions for Automotive, Engineering goods, and Consumer Durables customers, incorporating technology-enabled and automated processes with end-to-end visibility. Strategically located with an easy access to key industrial and manufacturing clusters as well as consumption markets in Nashik City, Aurangabad, Satpur, Silvasa, and others, these facilities are poised to facilitate efficient logistics operations. The facilities will be designed in accordance with Mahindra Logistics sustainability standards, encompassing the utilization of renewable energy, use of recycled construction materials, efficient liquid discharge management, and adherence to waste management requirements. With on-site solar power generation capabilities, they can fulfil all their energy needs and are equipped for solar charging for both cargo vehicles and personal mobility. The unique feature of these facilities is the introduction of green cement flooring in the warehouse, eliminating traditional cement. The company, along with its partners, plans to invest Rs. 100 crores for the establishment of these new facilities; and generating employment opportunities for more than 300 individuals in the …

In a strategic move set to reshape its operational landscape, Subham Freight Carriers opened its latest warehouse in Pondicherry, Tamil Nadu. This milestone represents more than physical expansion; a commitment to efficiency, customer satisfaction, and adaptability in a dynamic logistics landscape. Pondicherry, nestled on the southeastern coast of India, is not merely a serene coastal town but a crucial nexus for Subham’s expansion strategy. This move positions the company strategically to serve the Southern region with increased agility, reduced transit times, and a localised approach to logistics.

Mahindra Logistics Limited (MLL) announced the opening of its state-of-the-art warehousing facility in Phaltan, near Pune. Encompassing an expansive area of 6.5 lakh sq. ft., this facility will be developed in two phases. The first phase, comprising 3.5 lakh sq. ft., is scheduled to be operational by the end of 2024. Spread over an area of 25 acres at Phaltan, the new facility will be an important part of Mahindra Logistics Ltd. nationwide network of multi-client facilities. Phaltan is a strategic location in close proximity to key customers in auto OEM & components through this warehouse, Mahindra Logistics will manage inbound logistics to manufacturing and distribution solutions of diverse clients in automotive and manufacturing sectors, located in the region. The facility will be integrated with MLL’s national network of warehouses, full truck load, and express parcel service. Phase 1 has been contracted to a manufacturing customer and will function as their national logistics centre and will go live by Q3, 2024-25. Amongst the largest warehouses by logistics service providers in the region, the facility will be designed as per Mahindra Logistics Ltd. sustainability standards. These include measures such as decarbonisation, utilization of renewable power, adherence to green warehousing standards, and active participation in local community development. As a part of this announcement, Mahindra Logistics Ltd. also plans to dedicate resources to skill development initiatives, creating employment opportunities for more than 500 individuals in the region. The company and its partners are set to invest Rs. 170 crores in capital across multiple phases for the development of the new facility and related infrastructure. Mr. Rampraveen Swaminathan, MD & Chief Executive Officer, Mahindra Logistics Ltd. said, “To enhance our capabilities and meet …

CBRE South Asia, in its latest report titled, ‘CBRE Industrial & Logistics Figures H2 2023’ shares, Industrial & Logistics (I&L) leasing in Bangalore stood at 4.7 mn. sq. ft. in 2023. The total supply stood at 4.6 mn. sq. ft. During 2023, among the industry segments in Bangalore, 3PL firms drove leasing with a share of about (43%), followed by Retail (23%) and Engineering & Manufacturing (10%). During the Jul-Dec’23 period, Bangalore’s I&L leasing stood at 2.7 mn. sq. ft. while supply stood at 3.0 mn. sq. ft. Eastern Corridor led half-yearly supply and absorption. Small-sized deal closures dominated space take-up in the second half of 2023. Key leasing transactions recorded in the city during Jul-Dec’23: • DMart leasing 240,000 sq. ft. in Avigna Industrial & Logistics Park • Delhivery leasing 140,000 sq. ft. in independent warehouse • Swiggy leasing 140,000 sq. ft. in independent warehouse On a pan-India basis, the Industrial & Logistics (I&L) sector recorded an all-time high leasing activity in 2023, achieving an 8% Y-o-Y growth. Total leasing in 2023 stood at 38.8 mn. sq. ft. across eight cities. The drift towards more structured operational models of industries such as retail, FMCG, and manufacturing is driving an increased demand for efficient last-mile delivery solutions and warehouse solution providers are actively exploring markets to meet this demand.

IndoSpace has signed an MoU with the Maharashtra Government at the World Economic Forum in Davos. The company plans to expand its footprint by acquiring approximately 100 acres with an investment of more than INR 700 crore in the Chakan-Talegaon region. This move is expected to create new job opportunities and boost the region’s economic growth. Rajesh Jaggi, Vice Chairman – Real Estate, Everstone Group, said: “IndoSpace’s strategic approach to enhancing Maharashtra’s industrial and logistics infrastructure has strengthened further with the signing of this MoU with the Maharashtra Government. This collaboration will propel IndoSpace’s expansion in the Chakan-Talegaon region, creating sustainable and efficient industrial spaces that will drive India’s economic growth. We are honoured by the trust and confidence placed in our expertise and look forward to this shared vision with the government.” IndoSpace is currently leading the market in Pune with the largest portfolio. The company manages over 500 acres across nine international-standard industrial and logistics parks in the Chakan area, making it the preferred choice for major companies for their industrial and warehousing needs. With nearly 10.5 million sq.ft. of built-up space, IndoSpace’s parks are strategically located for e-commerce and 3PL companies looking to speed up distribution in the Pune region. This impressive portfolio has been built with an investment of more than INR 3,500 crores.

CBRE South Asia’s latest report titled, ‘Tier-II Cities: The Time to Shine’ highlights that nearly 35 major domestic and global retail brands entered 14 tier-II cities in the Jan-Sep’23 period, indicating a surge in warehousing activity in these locations. These 14 cities include Chandigarh, Jaipur, Indore, Goa, Mangalore, Kochi, Lucknow, Patna, Ranchi, Guwahati, Bhubaneshwar, Vizag, Mysore, and Coimbatore. As per the report, several domestic and international retail brands, including Croma, Armani Exchange, Malabar Gold & Diamonds, Reliance Smart, Tanishq, H&M, Marks & Spencer, GAP, Starbucks, Pizza Express, Under Armour, among others, have expanded their retail footprint to tier-II cities in Jan-Sep’23 period. According to the report, the total retail stock in these 14 tier-II cities stood at 29 mn. sq. ft. as of Sep’23, with Jaipur, Lucknow, and Chandigarh each boasting retail stock ranging between 3 to 7 mn. sq. ft. The retail development in these cities has been a healthy mix of high streets and malls. The total retail supply recorded in these 14 cities has been ~2.4 mn. sq. ft. during Jul-Sep ’23. Top cities dominating supply addition during this period include Chandigarh, Jaipur and Lucknow. The total absorption across the 14 cities stood at 2.4 mn sq. ft. in Jul-Sep’23 period, led by Kochi, Jaipur, and Goa.

Mahendra Shah, Chairman and Managing Director, V-Trans (India) shares, “Attention of the current Government has been substantial on enhancing logistic and supply chain efficiency. We expect policymakers to support the same further and also take steps to reduce supply chain costs. Many measures taken to boost manufacturing have started showing results and an efficient supply chain will boost the cause further. In the forthcoming budget, we look forward to improved outlay for logistics Infrastructure. Regulatory and budgetary support for Fast-tracking multimodal logistics infrastructure projects is needed. In the last year, ULIP has already been operational, but the need of the hour is its faster adoption across the stakeholders. In the forthcoming budget, steps for easy usage of ULIP will help in waste reduction and improve interoperability in logistics. It is a sector that has a significant contribution to carbon emissions. We look ahead towards the initiatives for faster adoption of green logistics. Incentives and easier access to funds for the adoption of sustainable logistics can be a good option to move forward. Being a major player in road transportation, we would like to draw the attention of the Government towards issues related to drivers. The government needs to introduce some schemes in the logistics industry for drivers. Last but not least will be bringing petroleum products under the purview of GST. Fuel is the largest component of our expenses. Once the industry gets input credit benefit on fuel, it will be a major boost.”

IndoSpace has signed MoU with the Tamil Nadu Government to invest staggering INR 2000 crore to enhance the state’s industrial landscape and economic growth. This investment by IndoSpace is anticipated to generate 15,000 new jobs, providing a substantial boost to employment opportunities in the state. Rajesh Jaggi, Vice Chairman – Real Estate, Everstone Group, said: “Tamil Nadu continues to be a very important destination for us in developing industrial parks. It makes us proud that in providing world-class industrial logistics facilities to our clients, we are also able to contribute to enhancing the state’s industrial infrastructure. Signing this MoU is significant for us as it reaffirms the government’s trust in our capabilities. We are confident that this partnership will not only contribute to Tamil Nadu’s economic development but also work towards strengthening the overall economy for the nation.” IndoSpace has an existing land bank of approximately 600 acres in the region. With an expansive presence of 14 Grade A industrial and logistics parks strategically located around the main industrial hubs, IndoSpace has developed and leased around 13 mn. sq. ft. with a total investment of approximately INR 4000 crore in the state. This MOU with the Tamil Nadu Government is a part of the organisation’s continued commitment towards supporting industrial requirements and has led to the planning of an additional 5 mn. sq. ft. of land in the state.