Real estate and logistics parks developer IndoSpace has recently announced the launch of five new mega parks across the Delhi-NCR region, Mumbai and Bengaluru. These projects, along with the existing Ranjangaon Park in Pune, will add around 10 million sq ft of leasable logistics and light manufacturing space to IndoSpace's portfolio.
The five planned parks will be spread across India's key industrial and logistics hubs at Narasapura (Bengaluru); Badli (NCR); Bhaproda (NCR); and two parks at Khopoli (Mumbai).
The boom in industrial real estate is expected to take the operational and underdevelopment pipeline of IndoSpace to an estimated 30 million sq ft.
The developer will be catering to the rising demand in India for world-class, Grade A warehousing and light manufacturing facilities from companies across multiple sectors. Speaking about the expansion, Rajesh Jaggi, Managing Partner, Real Estate, Everstone Group, said, 'This significant expansion highlights IndoSpace's focus on strongly supporting growth in India's logistics and light manufacturing sector, which will robustly expand owing to improved infrastructure across the nation, the landmark GST reform, and a fast-growing e-commerce sector.'
He further added that the government's move of granting infrastructure status to the logistics sector has strengthened the outlook for IndoSpace as it will help the sector access infrastructure lending at competitive rates. 'Logistics players will also have multiple instruments to raise money, including funds from insurance companies and pension funds with longer tenor,' he said.
According to a recent report by CBRE, GST has already had a positive impact on the warehousing sector, with around 7.4 million sq ft of industrial and warehousing space being leased in H1 2017 across key cities, a 50 per cent jump from H2 2016.