Welspun One Logistics Parks (WOLP) will be developing Grade-A warehousing, in-city anchored multiple use development format, at Wagle Industrial Estate in Thane near Mumbai. The company is planning to invest over Rs 600 crore into the project, reports ET Infra.
This is the first investment to be made through its category II Alternate Investment Fund (AIF) vehicle Welspun One Logistics Parks Fund 2 that has already secured commitments worth Rs 1,500 crores out of a target raise of Rs 2,000 crore so far.
“Warehousing plays a pivotal role in the growth of any economy and is an integral component of positioning India as an attractive destination for global manufacturing and supply chain. In-city logistics as a category is witnessing exponential growth due to surging demand of e-commerce, quick commerce, and rapid delivery services,” said Balkrishan Goenka, Chairman, Welspun World.
The proposed facility to support urban last-mile delivery will have a total built up area of 6 lakh sq ft to be developed on a 3.25-acre land parcel recently acquired by the fund. The asset coming up near Viviana Mall is currently in pre-construction stage and is expected to be operational in the second half of 2025.
“The surge-in demand for in-city warehousing spaces, with projected requirements reaching 16 million square feet in Mumbai Metropolitan Region (MMR) by FY28, is undeniable. As businesses prioritize faster order-to-delivery times, having access to efficient logistics infrastructure which is in close physical proximity to the customer is critical to meeting their business requirements,” said Anshul Singhal, MD, Welspun One.
The company is looking to potentially create an aggregate portfolio of 16-18 million sq ft over the next 4-5 years across first and last-mile facilities in tier 1 and 2 cities. The plan entails an overall investment outlay of over Rs 8,000 crore that can drive the assets under management to $1 billion, Singhal had told ET in an earlier interaction. In 2021, WOLP had raised its first AIF worth Rs 500 crore and this was amongst the first such fund raising through domestic investors. This fund committed the entire corpus across six investments aggregating to nearly 6.5 million sq ft within around 1.5 years from its first close. Around 50% of the first fund’s portfolio is leased and delivered.
