Logo leases warehousing center to Amazon in $100 million rental deal

Bangalore Logistics operator Logo has leased one million square feet of space in its new warehouse facility to the e-commerce major. heroine India, in one of the largest warehouse lease transactions in the country at Devanahalli Industrial and Logistics Park in the east in north Bengaluru. A longer lease term of 20 years equates to a rental outflow of more than $100 million.
The Amazon facility, created by Logo, includes a receiving center, sorting center, fulfillment center and heroine One-stop retail enables the firm to increase operational efficiencies and meet the growing demand in the sector.
“We are pleased to provide a state-of-the-art warehouse facility for Amazon in record time despite the challenges we are facing due to the COVID-19 pandemic. This is a testament to our logo development expertise and our partnership approach with both our clients and contractors as we work closely with them to understand their needs. For Logo, the deadline was crucial to prepare for the festive season and ensure a return to economic activity,” said Mehul Shah, CEO of Logo’s India business.
This is the logo’s first lease transaction with Amazon India.
Singapore-headquartered Logos holds a 50% stake in Logos Devanahalli Industrial & Logistics Park along with Asset Property Group.
“The Indian warehousing sector has seen significant attraction from both global and domestic investors and occupiers due to the GST transition and significant growth in e-commerce. LOGOS is committed to setting a new benchmark of high quality and sustainable logistics warehousing in India to support critical infrastructure services required by new economy businesses in India,” Shah said.
LOGOS has over 5 million sq ft of logistic assets operational and under construction space in the National Capital Region (NCR), Bengaluru and Chennai. Its development pipeline covers 12 million sq ft across NCR, Bangalore, Chennai, Pune, Kolkata and Mumbai.
An Amazon spokesperson declined to comment on the transaction.
The spokesperson said, “Amazon India announced its plans to expand its fulfillment network in India, increasing its storage capacity by approximately 40% over the previous year. Amazon India’s overall fulfillment network will be spread over a floor area of ​​over 10 million square feet, more than the size of a land of 125 football fields, with millions of products ranging from notebooks to dish washers.
The launch of 11 new fulfillment centers and expansion of 9 existing centers in states such as Maharashtra, Bihar, Gujarat, Assam, Rajasthan, Punjab, Delhi, West Bengal, Uttar Pradesh, Telangana, Tamil Nadu and Karnataka, is designed to deliver a Smarter, faster and more consistent experience for our customers and vendors across the country. The spokesperson said that all the sites would be operational before the festive season.
Trent Iliffe, MD and Co-CEO of Logos, said, “With operations in 10 countries in the Asia Pacific region, Logos has a strong track record of supporting the growth of our customers across the country and across the region. We work in India and across the world. We look forward to continuing to support Amazon in meeting its critical growth needs in the region.”