IndoSpace, the largest industrial real estate company in India, and GLP, a leading global provider of modern logistics facilities and technology-led solutions, have established a long-term partnership.
GLP, whose real estate platform is one of the largest in the world, spanning about $700 million square feet, will partner with IndoSpace and also co-invest in IndoSpace’s managed investment vehicles.
The partnership enables IndoSpace to leverage GLP’s fund management, development and operational expertise and resources, as well as GLP’s extensive global customer network, to further strengthen IndoSpace’s leadership position in India.
IndoSpace has an established platform with over $2 billion in assets under management today. This company was promoted by private equity and real estate firm Everstone Group and North America based Real term, a multi strategy private equity real estate operator.
Indospace plans to raise additional capital to build out a pipeline of approximately 120 million square feet of modern logistics infrastructure.
Through this partnership, GLP will also become an investor in IndoSpace Core, a joint venture established in 2017 by IndoSpace and Canada Pension Plan Investment Board (CPPIB) that is focused on acquiring and developing modern logistics facilities in India. CPPIB initially committed approximately $500 million to IndoSpace Core and owns a significant majority stake in the Core vehicle.
Sameer Sain, Co-Founder and CEO of the Everstone Group (co-founder of IndoSpace), said, “IndoSpace is excited to partner with GLP, the global leader in the logistics space. GLP’s expertise, scale, technology and global relationships will give us a massive advantage and enable us to deliver significant value to our customers and investors.”
Ming Mei, Co-Founder and CEO of GLP, said, “This partnership is highly strategic and mutually beneficial. IndoSpace is an experienced partner which shares similar values and culture as GLP. It provides us with immediate scale to capitalize on the early growth stages of India’s rapidly modernizing logistics landscape and further expand our logistics ecosystem.”
Demand for logistics facilities in India is driven by economic expansion, growth in organized retail and e-commerce and the modernisation of India’s supply chain, underpinned by favourable government policies, such as the Goods and Services Tax and the ‘Make in India’ initiative.