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Published
Jan 27, 2017
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H&M to set up first warehousing hub in India

Published
Jan 27, 2017

Swedish retailer Hennes & Mauritz (H&M) is close to leasing around 2.75 lakh square feet of space at Bhiwandi in Maharashtra to set up its first warehousing hub in India that would be directly operated by the company, according to two people aware of the development who spoke on condition of anonymity to the Mint.

H&M



H&M in advanced discussions with Mumbai-based Prakhhyat Infraprojects Pvt Ltd, which operates the 150-acre K Square Industrial Park at Bhiwandi, said one of the persons cited above.

The monthly rental has been pegged at Rs29 per sq. ft with a five-year lock-in period and the option to renew the lease for another five years, the person added.

The upcoming warehouse at Bhiwandi would be a built-to-suit facility and is expected to start operations next year, the second person cited above said.

Other big companies which have warehouses in the vicinity include e-commerce firms Flipkart, Amazon and logistics firm DHL Express.

 “H&M has been aggressively looking for a lot of retail spaces across all regions of India. Considering that all the floor sizes are large, they would sure have big warehousing requirements as well. The overall warehousing requirement from retailers is high and most firms are aggressively looking at certain belts in India because of the upcoming goods and services tax (GST),” said Aditya Sachdeva, director (retail) at Knight Frank, a property consultant.

Present across 62 countries, H&M is the world’s second largest apparel retail chain after Spanish clothing company Inditex, the parent firm of Zara.
 

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