Asset manager ESR Group has acquired 58 acres of land to expand its footprint in Nagpur, a city in the Indian state of Maharashtra.

The company has agreed to make an investment of approximately Rs4bn for the development of ESR Nagpur Logistics Park 2. The land is said to have an overall potential for the development of 1.4 million square feet in logistical space.

The facility will mark the company’s second logistics park in Nagpur, and its 20th overall park in India.

ESR Nagpur Logistics Park 2 is expected to improve the supply of advanced Grade A logistics facilities inside the Gondkhairi-Kalmeshwar logistics cluster, where storage consists mostly of semicompliant Grade B or C assets.

The park is planned to house ten buildings ranging from 67,000ft² to 190,000ft² and intends to meet a wide range of tenant demands, including e-commerce, third-party logistics (3PL), retail, and fast-moving consumer goods.

ESR India CEO Abhijit Malkani said: “Our flagship 22.5-acre development, ESR Nagpur Logistics Park 1, has been operating at full occupancy since completion in 2020 having attracted high-profile tenants from retail and e-commerce domains.

“We are building another best-in-class logistics facility that will redefine warehousing standards in the region and cater to the diverse expansion needs of e-commerce, retail, and 3PL services. Our work is focussed on driving long-term sustainable growth of the economy and uplifting local communities.”

ESR Nagpur Logistics Park 2 will incorporate various sustainable building elements to minimise its environmental impact and its tenant's operational costs, which will be assessed by the Indian Green Building Council post-completion.