Xander leases 11 lakh sq ft warehousing space to Amazon, Flipkart in Mumbai

March 15, 2021: Singapore-based alternate investment firm Xander Group has leased around 11 lakh sq ft of warehousing space for around 20 years to e-commerce firms Amazon India and Walmart-owned Flipkart in Bhiwandi, Mumbai.

“The long-term leasing transaction has been done from Xander’s warehousing platform, a $250 million industrial real estate venture that was set up in 2019,” reports Livemint.

Flipkart and Amazon have leased anywhere between 5-6 lakh sq ft each on adjacent land parcels. Of this, Flipkart has so occupied 4 lakh sq ft and the balance will be occupied by July. Amazon has so far occupied 3 lakh sq ft and the balance will be functional next month.

Flipkart will use the new warehousing facility in Bhiwandi as a hub for non-large stock-keeping units (SKUs) with more than 4 lakh daily operational shipments (around 2 lakh inward and 2 lakh outward). The facility will cater to a number of states such as Madhya Pradesh, Maharashtra and Gujarat and over 2,500 people will be employed.

For Amazon, which has invested heavily in its operational equipment, the facility has been set up as a fulfilment centre, which will provide the entire suite of services to its vendors including storage, packaging, shipment, marketplace platform.