The realty arm of the US-based asset management company Blackstone Group has planned to invest Rs 1,500 crore ($209 million) to create a network of warehouses in India. According to a recent report by the news agency Bloomberg, Blackstone will be initiating the warehouse vertical in association with one of the leading private logistics companies in the country, Allcargo.
The report indicates Blackstone owing a majority stake in the venture which would aim at building a portfolio of 5 million square ft of warehousing space across the country by the end of 2021. According to the report, the venture has been mooted following the bullish trends witnessed in the warehousing business thanks to the exponential growth particularly in the e-commerce business. The implementation of GST is also believed to be giving a major push to the warehousing sector as companies are now led be operational efficiency and not tax considerations to set up the storage units at critically important locations.
(Representative Image used in the story)