US-based investment company Blackstone is building a built-to-suit warehouse for Amazon India in New Delhi, which will be the first in-city fulfillment centre in the national capital. This marks the first-ever built-to-suit arrangement between the two companies in any part of the world.

The warehousing facility is coming up close to Khera Kalan in north-west Delhi, and is spread over 5,00,000 sq ft. It is expected to be operational by October, 2023.

Amazon has signed a 20-year lease with Horizon Industrial Parks, the entity under which Blackstone maintains its logistics assets in India. The land and some of the warehousing assets, spread just over 1.5 mln sq ft, were acquired by Blackstone in 2021 from real estate developer TARC for Rs 295 crore.

Currently, Amazon India has fulfillment centres spread across 15 states with 43 mln cubic ft of storage space. The fulfillment centres of Amazon ensure that confirmed orders are received, packed, and altogether shipped out to customers.

Blackstone owns 17 logistics assets in India totaling over 1,000 acres with a development potential of 25 million sq ft.