IndoSpace closes $1.2 bn ILP III, takes total India commitment to $3.2 bn

IndoSpace, a leading developer of industrial real estate and warehousing facilities, announced on Friday that it held the final close on IndoSpace Logistic Parks III (ILP III), which it claims is the largest logistics real estate fund ever raised in India. The offering was significantly oversubscribed on the back of strong investor demand.

Around $580 million of total equity has been committed to ILP III which, post leverage will create a corpus of more than $1.2 billion to develop and acquire industrial and logistics-related real estate investments in India. IndoSpace will use the capital to further strengthen its market leadership position.

Without disclosing names of the investors, the Fund said that leading global institutional investors have invested in ILP III.

In September 2018, GLP established a strategic joint venture with IndoSpace, marking its entry into India. GLP will partner with IndoSpace to develop logistics parks in India as well as co-invest in IndoSpace’s managed investment vehicles.

Sameer Sain, Co-Founder and CEO of the Everstone Group (co-founder of IndoSpace), said that the successful fundraising is a big endorsement of IndoSpace’s leadership in the industrial and logistics real estate space in India.

Ming Mei, Co-Founder and CEO of GLP, added the fund raise, which provides long-term capital to further strengthen our market-leading position and network to better serve customers across India. “The successful fund raise of ILP III reflects the confidence institutional investors have in us and we look forward to working closely with IndoSpace to capitalize on the early growth stages of India’s rapidly modernizing logistics landscape.”

IndoSpace takes total commitment to India to well above $ 3.2 billion, to build out a pipeline of 120 million square feet of modern logistics infrastructure to support the growth and modernization of India’s supply chain. Demand for logistics facilities in India is driven by favourable government policy, economic expansion and the growth in organized retail and e-commerce.

Currently, IndoSpace has a portfolio of around 30 million square feet across developed and under-construction projects. IndoSpace’s portfolio includes 30 industrial and logistics parks in 9 cities, making it the only national network in India.

IndoSpace promoted by Everstone Group, GLP and Realterm. IndoSpace currently has 30 industrial and logistics parks across India with 30 million square feet of developed and under development facilities and continues to develop new facilities to cater to the needs of its clients. Its customers include IKEA, Amazon, Nissan, PepsiCo, DHL, Leoni, Steelcase, Kubota, Ericsson, Bosch and Delphi.