Welspun One Logistics launches ₹2000 cr warehousing AIF

New Delhi: Welspun One Logistics Parks (WOLP), integrated fund and development management platform focussed on warehousing and industrial real estate, on Monday announced the launch of its second fund of ₹2,000 crore, including a green shoe option of ₹1,000 crore.

This is the largest alternative investment fund (AIF) being raised for the warehousing and logistics sector in India.

Welspun One Logistics Parks Fund 2 is being raised following the WOLP Fund 1 in 2021. WOLP Fund 1 had raised ₹500 crore from a set of high net-worth investors including marquee individuals and family offices.

WOLP Fund 2 has a pan-India development plan targeting total development of 8-12 million sq ft based on opportunities across tier I and tier II cities and In-city projects in Mumbai, Delhi, and Bangalore.

The first fund has delivered robust performance with a track record of 100% commitment across a portfolio of 6 investments, aggregating to around 6.5 million sq ft within nearly 1.5 years from its first close. The first fund’s investment portfolio has witnessed traction on the ground with around 50% of it expected to be physically delivered, leased, and operating by the middle of 2023.

The company places a strong emphasis on creating and implementing robust processes for a high level of governance and transparency across its business.

It recently started WOLP investor portal, a first-of-its kind offering in the real estate private equity space that provides investors with online access to comprehensive information on their portfolio assets and performance.

“The warehousing industry is now a fully integrated priority sector in India that contributes to the $1 trillion economy. Owing to the country’s favourable policy changes, this resilient asset class has drawn significant interest from national investors. Welspun One is the only warehousing platform to permit domestic capital to be invested in the Indian warehousing growth story,” said Balkrishan Goenka, Chairman, Welspun Group.

“Our strong performance in WOLP Fund 1 has encouraged us to plan our second fund on a larger scale allowing domestic investors to be part of this exciting asset class which has already attracted $5-6 billion of foreign institutional capital,” said Anshul Singhal, Managing Director, Welspun One Logistics Parks.