2 hours ago
Global investment firm Brookfield has announced the acquisition of a 100 per cent interest in the industrial and logistics (I&L) portfolio of ESR India — an I&L real estate developer — for ₹4,300 crore ($450 million).
The portfolio spans 10.5 million square feet (msf), and the acquisition marks Brookfield’s foray into I&L real estate in India. The committed ₹4,300 crore will be utilised for the acquisition and future development of the portfolio, with ESR continuing to manage the properties in the near term.
Spread across approximately 400 acres in six metro clusters, the portfolio includes eight Grade A parks located across Mumbai, Pune, Delhi-NCR, Chennai and Kolkata.
Developed and managed by ESR, the assets are situated along industrial and freight corridors strategically located close to key manufacturing and warehousing hubs, providing access to established consumption centres and logistics catchments, the two firms noted in a joint statement issued on Wednesday.
The operating portfolio is approximately 98 per cent leased. The portfolio also accommodates light manufacturing facilities, fulfilment centres and warehouses, providing Brookfield with immediate scale across some of India’s leading industrial and logistics markets, the companies said.
Ankur Gupta, deputy chief investment officer and head of Asia Pacific and Middle East, real estate at Brookfield, said, “Our market-leading presence across India's office and hospitality sectors provides a strong foundation to deepen our real estate footprint and expand into the logistics and industrial sector. As India’s integration into global supply chains accelerates, high-quality logistics infrastructure will enhance the country’s logistics capabilities and cost competitiveness. We remain well-positioned to partner with governments, global institutions and corporations to deliver solutions at scale, strengthening supply chains, enhancing connectivity, providing accommodation solutions for industrial workforce and supporting the country’s economic ambitions.”
The companies added that the acquisition builds on the relationship between Brookfield and ESR across Asia Pacific.
Abhijit Malkani, chief executive officer, India at ESR, said, “This transaction reflects the quality of the portfolio ESR has built and the strong institutional demand for modern logistics assets in India. Brookfield's acquisition of the portfolio underscores the value created through ESR's integrated platform and the strength of our logistics business in India. ESR will continue to manage the portfolio, providing continuity for customers while supporting its next phase of growth. This successful realisation for our capital partners reinforces our conviction in the country’s long-term growth prospects, supported by strong economic fundamentals, an expanding manufacturing base and its growing role as a global supply chain hub.”
Brookfield is an owner and operator of real estate assets in India, with a portfolio of over $13 billion across office and hospitality. Brookfield is one of the largest foreign investors in the country, with approximately $33 billion of assets under management across infrastructure, energy, private equity, real estate and credit.
ESR India is the Indian arm of Singapore-based real assets owner and manager ESR. ESR’s investments are focused on logistics real estate, data centres and infrastructure.
