Ascendas Firstspace Development Management Pvt. Ltd, a joint venture between Singaporean office solutions provider Ascendas-Singbridge Pte Ltd and Indian industrial developer Firstspace Realty LLP, has bought two warehousing assets in Chennai.
Mint reported on Wednesday that Ascendas-Firstspace has acquired a greenfield project in Oragadam, Chennai which will be developed into a park spanning 2.8 million sq ft. The platform has also bought a brownfield project at Periyapalayam in the city spread across 1.2 million sq ft.
The assets have been snapped up for an estimated $120-130 million (Rs 840-910 crore at current exchange rates) combined, the report added.
It further quoted Ascendas-Firstspace chief executive officer Aloke Bhuniya as saying that the firm was looking at both brownfield and greenfield properties, which will be funded through debt and equity.
Bhuniya said that the platform will have five to six assets in its portfolio in the next two years.
Ascendas Firstspace Development Management was set up last year to build logistics and industrial facilities across major warehousing and manufacturing hubs in India.
At the time, Bhuniya had said that the platform would tap into high-growth industrial verticals such as third-party logistics, e-commerce, automobiles, fast-moving consumer goods (FMCG), modern retail and manufacturing.
It plans to develop 15 million sq. ft of space in key markets, including Mumbai, Delhi-NCR, Pune, Chennai, Bengaluru and Ahmedabad, in the next half-a-decade or so.
It had earlier bid for Sun Logistics Park in Chennai but was beaten to it by rival Assetz Property, which has now taken over the property.
In June, Ascendas-Singbridge brought Singapore’s state investment firm Temasek Holdings as a principal investor for its Ascendas India Logistics Programme that aims to invest $300 million in warehousing projects.
Ascendas-Firstspace will execute the investment strategy for the programme.
