Ascendas-Singbridge has become the latest firm to enter the logistics and industrial sector in India by establishing a partnership with Firstspace Realty, a Mumbai-based real estate firm.
The joint venture will invest in development projects for logistics and factory spaces in Mumbai, the National Capital Region, Pune, Chennai, Bangalore and Ahmedabad.
The monetary value of the partnership was not disclosed. In a statement announcing the platform, Ascendas-Singbridge said it aims to develop close to 15 million square feet of warehousing space in the country in the next five to six years.
“We have been in India for over two decades, developing iconic business and IT Parks…Entering the industrial and logistics sector is a natural progression, and we expect to meet the growing demand for quality manufacturing and logistics space,’’ commented Miguel Ko, the Singaporean property conglomerate’s group chief executive officer.
“We have assembled an entrepreneurial team to lead the way, who will be supported by our experienced India and global operations.”
Ascendas-Singbridge joins a growing list of global real estate firms making a bet on India’s logistics sector on the back of growing consumption trends, and an increase in the share of manufacturing in India’s GDP among other structural reforms, including the Goods & Services Tax.
In May, Canada Pension Plan Investment Board (CPPIB) set up a $500 million partnership with IndoSpace to acquire and develop logistics facilities in the country; and only weeks before that PERE learned about e-Shang Redwood’s foray with the appointment of two co-heads for its India industrial strategy – Abhijit Malkani and Jai Mirpuri.