Global asset manager Blackstone will invest ₹700 crore in developing 70 acres of warehouse space owned by Central Warehousing Corporation through a public-private partnership.
State-owned CWC, which has drawn up an asset monetisation program, has awarded 83 acres of warehousing space to be developed, of which the major portion has been bagged by Blackstone’s Horizon Industrial Parks.
The remaining warehouse projects have been awarded to RSA Warehousing, TransAsia Shipping, and LL Logistics.
Knight Frank India is advising CWC on these transactions.
CWC has designated prime warehousing properties at over 50 locations for modernization and development under a Public-Private Partnership, with a total investment of ₹782 crore across 16 properties.
Knight Frank and CWC jointly strategised and prepared the concession agreement managing the bid process for this program. Under this model, the concessionaire will design, build, finance, and operate the facilities for a 45-year concession period, after which the facilities will revert to the public sector.
The redevelopment is expected to be completed within five years from the appointed date, with all project revenue deposited into an escrow account managed by CWC, which will then disburse the funds to the concessionaire.
“The primary goal of CWC is to facilitate the development of high-quality warehousing and logistics spaces in India, which will reduce logistics costs while ensuring the quality of goods,” said Amit Singh, MD, CWC.
Multiple bids for 34 locations across India are now under evaluation.
This is the first time Foreign Investment Funds directly submitted bids for any government tenders.