TVS Industrial and Logistics Parks Private Limited (TVS ILP), a part of TVS Mobility Group, will be investing close to $400 million to expand its portfolio by another 10 million sq ft over the next three years. The company will be bringing more than 30 new cities, primarily in states along the eastern coast, under its ambit to set up industrial and logistics warehousing parks.
Nitin Aggarwal, president, TVS ILP told reporters that the company was looking at generating $750 million contracted revenue in the next few years. “The sector is growing at a CAGR of 15%-17% and we are witnessing zero vacancy in our facilities in the present scenario. While we will be doubling our portfolio to 20 million sq ft from the current 10 million sq ft through an investment of $350-$400 million, the objective is to ensure that our facilities are located in every 400 KM across the country,” he said. Currently, TVS ILP has presence in 11 cities in states including Maharashtra, Tamil Nadu and Odisha, which will be establishing industrial and logistics warehousing parks at Vijayawada and Visakhapatnam in Andhra Pradesh soon. The second facility is coming up at Cuttack in Odisha, while it is also looking at establishing a facility in Kolkata.
Manikandan Ramachandran, chief operating officer at TVS ILP said, the eastern corridor was chosen as it is an underserved market. “Our parks have additional facilities, where the clients can do sub-assembling apart from storing, which is not available in the normal warehouses. Moreover, there is a demand for both stocking goods from neighbourhood industries for distribution in other parts of the country and ferrying goods ,” he added.