Prologis to bet $500 mn on warehousing in India

Company could double investment into large warehousing parks in 5-7 years

- Madhurima Nandy

S-based Prologis Inc., the world's largest owner of warehouses, plans to invest around $500 million in India by 2026 to build a large portfolio of warehousing parks in the country.

The company could double its investment in India in the 5-7 years following the initial $500 million outlay, chief investment officer Joseph Ghazal said in an interview. Prologis, which counts Amazon Inc. as its biggest client, plans to build and lease warehousing parks in India as well as develop build-to-suit facilities for customers.

"We have very big growth ambitions for India. The Grade A warehousing market is underserved and there is huge potential for growth," said Ghazal. "India's economic growth, regulatory environment, consumption levels, and our customer base here are the driving factors as well. We are here for the long-term."

Prologis' plan is to first establish its presence in five major Indian cities—Delhi, Mumbai, Pune, Bengaluru, and Chennai.