In one of the biggest deals in the warehousing and logistics space this year, Singapore-based developer-cum-investor Mapletree has invested Rs 300 crore in a logistics park project of Pune-based KSH Infra Industrial Park.
The deal pertains to 0.7 million square feet (sq. ft) of logistics park KSH in Pune. This is part of a 1.2 million sq. ft park that the firm is developing in the Chakan area of the city.
The entire development and leasing of the project will be undertaken by KSH Infra.
Mapletree has entered into a forward purchase agreement with KSH, wherein it will buy the property at a pre-agreed price when the asset is completed. Avendus Capital acted as the exclusive financial advisor to KSH Infra.
With a portfolio of 3 mn sq. ft under various stages of development, the firm is evaluating the markets of Mumbai, Bangalore, and NCR. It plans to take its footprint up to 10 mn sq. ft. In 2019, KSH Group sold 1 mn sq ft of a Grade-A park in Chakan and Talegaon to Morgan Stanley Real Estate Fund for $45 million.
Prateek Jhawar, director, Avendus Capital said: “Over the past three years, the Indian logistics and warehousing sector has witnessed tremendous growth. This has strongly attracted foreign investor capital. The market is currently highly fragmented and larger organised players such as KSH will be the ones to attract this capital. This is the second transaction that we have advised the KSH group on, in this sector.”