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Business News/ Companies / News/  Horizon Industrial to invest 4.5k cr on expansion plans
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Horizon Industrial to invest ₹4.5k cr on expansion plans

The firm is also increasing its investment in clean energy to power its parks and offer it to the tenants

Rahul Pandit, CEO, Horizon Industrial Parks.Premium
Rahul Pandit, CEO, Horizon Industrial Parks.

BENGALURU:Global asset manager Blackstone Group-owned Horizon Industrial Parks plans to invest 4,500 crore to expand across cities, said a top company executive. 

Of the amount, 1,300 crore will be spent in the National Capital Region (NCR), which constitutes around 25% of the portfolio, about 2,000 crore in south India (40% portfolio share) and the remaining 1.200 crore in western India. 

Earlier this year, Blackstone set up a logistics vertical ‘Horizon Industrial Parks’ in India to house its existing assets,  which would be scaled up through acquisitions and greenfield developments. The enterprise value of the 16 assets under the platform is about $900 million, and Blackstone has invested $500 million so far.

“We are looking at high quality operating assets, brownfield assets and greenfield developments, that we could operate under Horizon. We are also looking to partner with various stakeholders including regional developers and landlords," Horizon Industrial Parks’ chief executive Rahul Pandit said in an interview. 

The portfolio currently comprises 16 Grade-A logistics and warehousing assets, spanning a 24 million sq. ft area of total development potential in Bengaluru, Delhi-NCR, Hyderabad and Pune. 

Horizon is developing nearly 9 million sq ft of warehousing space in south India. 

“NCR, too, continues to be a large area of focus for us. It comprises nearly 25% of our portfolio, representing a huge geography and a key consumption market. We are looking to enter eastern India, in key cities such as Kolkata and Guwahati. Urban logistics is also going to be a massive opportunity for us," Pandit said. 

In the next two years, Blackstone is planning to double its portfolio on the back of increasing demand for organized warehousing space both in and around large cities, as well selectively in smaller cities such as Nagpur.

The company also said it is increasing its investment in clean energy to power its parks and offer it to the tenants. 

Horizon Industrial Parks would be the third asset-specific platform for Blackstone in the country, after Nucleus Office Parks (for commercial office assets) and Nexus Malls (for shopping malls).

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ABOUT THE AUTHOR
Madhurima Nandy
I am a part of the long story team at Mint, and write on real estate, infrastructure, e-commerce, urban issues among others. I have over 20 years of experience as a journalist. As a long-story writer, I tell stories behind the news to capture the larger picture through an analytical lens, with authenticity.
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Published: 06 May 2022, 01:12 AM IST
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