Shriram Properties and Logos Ink Agreement at The Global Investor Summit to Sell Around 90 acres of Property for Warehouse and Logistics Park in Uttarpara, Kolkata

Shriram Properties and Logos, an Asia-Pacific logistics company, have signed a Memorandum of Understanding (MoU) for the possible sale of up to 90 acres of property in Shriram Grand City in Uttarpara, Kolkata, which Logos intends to convert into a warehouse and logistics park.

The Memorandum of Understanding for the proposed transaction was signed during the Global Investor Summit organised by the Government of West Bengal in Kolkata and is subject to normal due diligence and regulatory and governmental clearances.

SPL is a significant developer of residential real estate in South India. SPL is presently creating an integrated township project called 'Shriram Grand City' on a 314-acre tract of land in Uttarpara, Kolkata. SPL, which was inaugurated by West Bengal's Chief Minister in 2016, has already developed 4.5 million square feet of residential space for 5,500 households and is on track to provide 500+ units between H1 and FY23. The firm has said that it wants to create 10 million square feet of saleable space for residential development and sell the remainder to strategic partners for use in other development formats. The projected land sale is a necessary component of this approach.

Logos is a market leader in Asia-Pacific logistics, owning and developing warehouse and logistics parks around the region. It operates in ten countries and manages $19.6 billion in assets across 119 buildings. LOGOS has created 5 million square feet of storage and logistic parks in India's NCR, Chennai, and Bengaluru, and is continuing to extend its footprint in this rapidly increasing industry.

After the deal is completed, Logos wants to convert the site into a modern, sustainable logistics park with about 2.2 million square feet of industrial and warehouse space. The park is estimated to produce 50,000 employment in West Bengal, both direct and indirect. The acquisition is scheduled to close in the second half of FY23, subject to successful completion of due diligence and receipt of all clearances.

"Logos' planned investment in Shriram Grand City would change the micromarket and enable us to create greater value for both firms' stakeholders," stated M Murali, CMD, Shriram Properties.

"We look forward to collaborating with SPL on this prospective deal and entering West Bengal, the major gateway to Eastern India, to provide best practises in ESG and high-quality logistics and infrastructure to this market," said Trent Iliffe, MD and co-CEO of Logos.

"Our entry into the East through Kolkata is consistent with our strategy of focusing on large-scale expansion in major areas," noted Mehul Shah, CEO of Logos' India business. With this proposed purchase, we look forward to bringing the advantages of multi-user and large-scale logistic infrastructure development to the region."