Blackstone bets big on India’s warehousing, to grow logistics portfolio to 100 million sq ft

• Blackstone, a global investment firm, has announced its plans to grow its logistics portfolio in India to 100 million sq ft by 2025, making it one of the largest owners of warehousing space in the country.
• The firm currently owns and operates 40 million sq ft of logistics assets across 18 cities in India, through its joint ventures with Hiranandani Group and Allcargo Logistics, and its partnerships with ESR and IndoSpace.
• The firm plans to develop its logistics portfolio further through its existing joint ventures, partnerships and new alliances, as it sees a huge potential for growth in the warehousing sector in India.
• The warehousing sector in India is witnessing a strong demand from e-commerce, third-party logistics, consumer durables and pharmaceuticals segments, driven by the rapid growth of online retail, urbanization and changing consumer preferences.
• The sector is also benefiting from the government’s initiatives such as the Goods and Services Tax (GST), the National Infrastructure Pipeline (NIP) and the Dedicated Freight Corridors (DFCs), which are expected to improve the efficiency and connectivity of the logistics network in the country.
• The firm believes that India offers a unique opportunity for investing in high-quality logistics assets, as the country has a large and growing consumer base, a low penetration of organized warehousing and a favorable regulatory environment.
• The firm also claims that its logistics investments are aligned with its environmental, social and governance (ESG) goals, as it aims to reduce the carbon footprint of its assets and support the development of sustainable infrastructure in India.
• The firm has committed to achieving net-zero emissions by 2050 across its global portfolio, and has already installed rooftop solar panels on 15 million sq ft of its logistics assets in India, generating 25 MW of clean energy.
• The firm has also partnered with local communities and NGOs to provide education, healthcare and livelihood opportunities to the people living near its logistics parks.
• The firm expects that its logistics investments will create over 100,000 direct and indirect jobs in India by 2025, and contribute to the economic growth and development of the country.

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