The Haryana State Industrial and Infrastructure Development Corporation Ltd (HSIIDC) has allotted 140 acres land to Walmart-owned Flipkart for setting up the largest fulfillment centre in Asia, having a covered area of 3 million square feet in Patli Hazipur, Manesar.
The land has been allotted at bare shell cost of Rs 3.09 crore per acre and all infrastructure facilities shall be laid by Flipkart. This project shall give impetus to further investments in the region and shall be a prestigious project for Haryana, HSIIDC said.
The e-commerce giant intends to set up a logistics park on the land parcel over the next 3-5 years. The park, which has a potential of a total built up area of 5 million square feet, shall be developed in 2 -3 phases. The first phase of the project shall be operational by 2022.
The allotment was approved by the executive empowered committee in its meeting held on October 7 under the chairmanship of Rajesh Khullar, PSCM-cum-chairman HSIIDC.
Khullar informed that in view of the increasing demand of warehousing from e-commerce companies, HSIIDC has set up a warehousing hub over an area of 285 acres in Patli Hazipur, Manesar.
The sustainable development of the park is expected to cost more than Rs 3,500 crore in capital investment and shall create more than 12,000 jobs in the state.
Knight Frank were the advisors to Flipkart for the project. Also Read: Paytm sets up 5.5 lakh sq ft office space in Noida, plans to take up 1.5 lakh sq ft in Bengaluru
Flipkart has 12 supply chain assets in Haryana, including supply chain infrastructure for large appliances, non-large (including mobiles, apparel), grocery and furniture.
The company currently employs more than 10,000 people in Haryana across its supply chain assets and has created lakhs of indirect jobs in the state.
According to the recent ‘India Warehousing Market Report – 2020’, a study on asset class performance across 22 Indian cities by Knight Frank India, the warehousing sector had seen a strong demand growth of 44 percent CAGR, with transactions increasing from 13.9 mn sq ft in FY17 to 41.3 mn sq ft in FY20.
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