Lodha, Bain Capital and Ivanhoe Cambridge Sign a 1 Billion Dollar Logistics Agreement

Lodha has collaborated with Bain Capital and Ivanhoé Cambridge to build an infrastructure platform for green digital infrastructure of the future generation.

The platform will build a pan-Indian footprint in the digital infrastructure arena, which includes logistics and light industrial parks as well as fulfilment facilities in urban areas. To support India's digital economy, the platform will jointly spend $1 billion to develop 30 million square feet of operational assets. 

Each of the three partners will have a 33 percent equity stake in the property ownership, while Lodha will be responsible for the development, operations, and administration of the assets.

Abhishek Lodha, Managing Director and Chief Executive Officer of Lodha, said, "With the fast digitalization of our economy and the growth of 'Make in India' coupled with the China + 1 strategy of most global manufacturers, we see a massive need for Grade-A digital infrastructure in our nation. With the goal of setting a worldwide standard, we will concentrate on constructing and running this digital infrastructure with the greatest standards of environmental sustainability."

The first project is a logistics and industrial park development on 110 acres in Palava, a well-established area in Mumbai for digital infrastructure. In addition, the platform has already begun examining pan-India land purchases and developed/under-development projects in various asset classes.

Ali Haroon, managing director at Bain Capital, stated, "This is an exciting partnership that brings together an experienced real estate developer with extensive digital infrastructure capabilities and the complementary support of global investors with long track records of success in commercial real estate."

"This agreement gives us new opportunities for expanding our logistics portfolio in India, a high conviction thesis strongly backed by solid sector fundamentals as India enters a digital super cycle,"

"We anticipate that the Indian logistics ecosystem will continue to provide possibilities led by good trends in urbanisation, domestic consumption, fresh impetus to the light manufacturing sector, modernising multi-modal infrastructure, and the quickly developing e-commerce industry."