Ascendas Expands Logistics Portfolio With 9 Lakh Sq Ft Ahmedabad Acquisition

Transaction Overview And Scale

Ascendas Firstspace has acquired 9 lakh sq ft of warehousing space in Ahmedabad for ₹275 crore, translating into a large-scale addition to its industrial and logistics platform. At this size, the acquisition represents a significant institutional-grade warehouse footprint, reinforcing Ahmedabad’s positioning within India’s organised logistics ecosystem.

Capital Deployment And Asset Valuation

A ₹275 crore transaction for 9 lakh sq ft reflects substantial capital deployment into core industrial real estate. Institutional investors typically target stabilised, income-generating logistics assets, suggesting a focus on long-term rental income visibility and yield stability. The scale of the acquisition signals continued appetite for warehousing backed by structural demand.

Ahmedabad’s Strategic Industrial Position

Ahmedabad benefits from proximity to key highways, freight corridors, and port infrastructure in Gujarat. The city functions as a distribution gateway for western and northern India, supporting efficient regional supply chain operations. Its industrial clusters and policy environment continue to attract both occupiers and institutional investors.

Growth In Organised Warehousing

India’s warehousing sector has transitioned from fragmented storage facilities to Grade A industrial parks with compliance, automation, and integrated infrastructure. Large format acquisitions such as this contribute to formalisation and institutionalisation of logistics real estate, improving asset quality benchmarks across markets.

E Commerce And Supply Chain Drivers

Expansion in e-commerce, third-party logistics, and manufacturing distribution networks has increased demand for large warehousing footprints. Institutional platforms are aligning portfolios with scalable, technology-enabled storage and distribution assets to meet evolving occupier requirements.

Portfolio Consolidation Strategy

By adding 9 lakh sq ft in a single transaction, Ascendas Firstspace strengthens operational scale and regional concentration. Portfolio clustering enhances management efficiency and supports asset optimisation across logistics corridors where demand remains resilient.

Rental Market Implications

Institutional acquisitions often stabilise rental benchmarks in organised parks by reinforcing quality standards and long-term lease commitments. Such transactions contribute to predictable cash flow generation within industrial portfolios, making the segment attractive to global capital.

Industrial Real Estate Investment Momentum

The warehousing segment continues to attract sustained capital inflows compared to other commercial asset classes. Transactions of this magnitude underline strong investor conviction in logistics led real estate growth driven by consumption and manufacturing trends.

Conclusion

The ₹275 crore acquisition of 9 lakh sq ft in Ahmedabad reflects continued institutional confidence in India’s industrial and logistics sector. The deal strengthens Ascendas Firstspace’s regional presence while reinforcing long-term structural demand in organised warehousing.

Enjoyed this update? Visit PropTech Pulse for more real estate news and market insights.