KSH Infra to Invest INR 450 Crore in Developing a Logistics Park in Hosur, Tamil Nadu

Hosur, Tamil Nadu: KSH Infra, a prominent developer of warehousing and logistics parks, is set to invest approximately ₹450 crore in the development of an industrial and logistics (I&L) park over a 50-acre land parcel in Hosur, Tamil Nadu. This move marks KSH Infra’s strategic entry into the southern Indian market.

Strategic Location and Development Plans

KSH Infra recently acquired the land parcel in Tamil Nadu, strategically positioned near the Karnataka border and close to the Bengaluru market. The land boasts a development potential of 1.25 million sq ft. Sundaresan Vaidyanathan, CEO of KSH Infra, shared that the acquisition was finalized last week, and the company plans to develop the I&L park over the next 3-4 years. The company is also in discussions with multiple institutional investors to offload a majority stake in this development as part of their long-term strategy.

Land Parcel in Tamil Nadu Estimated to Have 1.25 Million Sq Ft Development Potential

• Key Facts and Figures: Investment: ₹450 crore
• Location: Hosur, Tamil Nadu (near the Karnataka border and Bengaluru market)
• Land Area: 50 acres
• Development Potential: 1.25 million sq ft
• Timeline: 3-4 years for full development
• Employment Generation: 1,800+ jobs

Tamil Nadu: A Prime Opportunity for Growth

According to Sundaresan Vaidyanathan, Tamil Nadu is a key industrial powerhouse in southern India, making it an attractive location for KSH Infra’s expansion. Tamil Nadu is the second wealthiest state by GDP and the most industrialized in India, offering significant growth opportunities for industrial and logistics infrastructure.

Strategic Importance:

• Tamil Nadu's Economy: Second wealthiest state by GDP in India
• Industrial Significance: Most industrialized state in the country
• Proximity: Located near the new Tata Electronics facility and Hosur-Rayakottai Road

Expansion and Financial Strategy

Rohit Hegde, Managing Director of KSH Infra, highlighted the company’s strong financial position, which enables them to explore new opportunities in Chennai, Bengaluru, and Mumbai while leveraging their established presence in Pune. The company’s advanced stage deals in these markets align with their long-term strategic growth plan.

Current Investments:

• Investment in Pune: Over ₹1,200 crore in developing 4 million sq ft of grade A space across four industrial and logistics parks in Talegaon and Chakan.
• Global Partnerships: Capital raised from global investors like Pacific Century Group, Morgan Stanley Real Estate Investing (MSREI), and Mapletree Investments.
• Joint Ventures: Partnership with Indospace Capital to develop 10 million sq ft across key markets in India.

Strong Demand for Industrial and Logistics Infrastructure

The investment in the industrial and logistics segment remains robust, driven by the rising demand for this asset class. Factors such as the decentralization of manufacturing capacity from China, coupled with India’s ‘Make in India’ and Production Linked Incentive (PLI) schemes, are supporting the growth of this sector.