Shriram Properties, Logos sign MoU for sale of upto 90 acres land for Warehousing and Logistics Park to be developed by Logos

KOLKATA, April 25, 2022: Shriram Properties Limited (SPL) and LOGOS, have entered into a Memorandum of Understanding (“MoU”) for a potential sale of up to 90 acres of land in Shriram Grand City at Uttarpara, Kolkata, which will be developed into a Warehousing and Logistics Park by LOGOS.

The MoU for the proposed transaction was signed at the Global Investor Summit organised by Govt. of West Bengal at Kolkata and is subject to necessary due-diligence and certain regulatory and governmental approvals that are customary to similar transactions.

SPL is currently developing an integrated township project, ‘Shriram Grand City’, on a 314 acres of land parcel owned by it at Uttarpara in Kolkata. Inaugurated by the Chief Minister of West Bengal in 2016, SPL is developing 4.5 million sqft of residential apartments serving 5,500 families and is poised to hand over 500+ homes during H1-FY23. The Company has maintained that it intends to develop 10 million sqft of saleable area for residential development and sell the remaining area to strategic partners for other formats of development. The proposed sale of land is integral to this strategy.

Following finalisation of the transaction, LOGOS intends to develop the land into a modern, sustainable logistics Park offering approx. 2.2 million sqft of industrial and warehousing space. The Park is expected to generate 50,000 of local direct and indirect jobs in West Bengal. The transaction is expected to be completed during 2H-FY23 on satisfactory completion of necessary due-diligence and receipt of requisite approvals.

Commenting on the MoU, M Murali, Chairman and Managing Director of Shriram Properties Limited said: “We are extremely delighted to be working with LOGOS, a leading warehousing and logistics developer in Asia, on this potential transaction. LOGOS’s proposed investment in Shriram Grand City will transform the micro-market and allow us to realise superior value for both companies’ stakeholders”.

Commenting on the transaction, Trent Iliffe, Managing Director and Co-CEO of LOGOS said: “We look forward to working with SPL on this future transaction and entering West Bengal, the leading gateway to Eastern India, to bring best practices in ESG and high-quality logistics and infrastructure to this market.” 

Mehul Shah, CEO of LOGOS’ India business added: “Our foray into the East through Kolkata is in line with our strategy to focus on large scale development in key markets.  We are excited to bring in benefits of multi-user and large-scale logistic infrastructure development with this proposed acquisition.”

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