In July last year, Panattoni announced its foray into India and said the company would invest USD 200 million to develop four industrial and logistics parks as it seeks to tap the growing demand for warehousing spaces across major cities.
On December 5, the company announced its inaugural project in India with the Phase 1 launch of ‘Panattoni Park NH71’ in Delhi-NCR.
“We have acquired 17-acre land to develop our first project in Delhi-NCR. The construction work will start in the first quarter of the next calendar year. It will take a year to complete the project,” Panattoni India Managing Director Sandeep Chanda told PTI. The total cost to develop 3.6 lakh square feet of area would be around Rs 110 crore, he said, adding that the company has tied up with some institutional investors to meet the cost. “Panattoni views India as a critical node for its global business and plans to rapidly expand in the country in the coming years,” Chanda said.
He said the company is looking for more land in major cities.
According to real estate consultant Vestian, the average monthly rent of warehousing and logistics space in and around the national capital region rose 4 per cent annually to Rs 22.5 per square feet in the first six months of this year on higher demand.
The leasing of warehousing and logistics space in Delhi-NCR increased 68 per cent to 4.7 million square feet in the January-June period this year as against 2.8 million square feet in the year-ago period.
Indian venture, Panattoni India Development Pvt Ltd, is headquartered in Bengaluru.
