Welspun One Logistics Parks Inks Pact with Murugappa Group's EV Arm to Develop Build-to-Suit Facility

Update On: Fri Oct 20 2023 by Gaurav Sharma

Welspun One Logistics Parks recently announced a leasing agreement with Montra Electric, the EV manufacturing arm of the renowned Murugappa Group. This partnership aims to develop a state-of-the-art build-to-suit facility in Chennai, India. The collaboration will see Welspun One construct a facility specifically designed for the assembly of four-wheeler small commercial electric vehicles (EVs) and a retail experience center. The project is part of Welspun One's commitment to fostering regional economic growth, as outlined in their investment memorandum of understanding (MoU) with the Tamil Nadu government. Situated within the Welspun One logistics and warehousing park in Chinnambedu, the facility is expected to commence operations by the second quarter of 2024.

A Tailored Facility for Montra Electric

The build-to-suit facility spans over 3-lakh sq ft, including 50,000 sq ft of open space. It has been custom-designed to meet Montra Electric's precise requirements. Sudhanshu Singhal, the Managing Director of Welspun One, expressed excitement about the collaboration, stating, "We have partnered with Montra Electric to create a one-of-a-kind build-to-suit facility in Chennai. Our asset-light and investment-friendly approach perfectly aligns with Montra Electric's vision."

Strategic Location and Connectivity

The logistics park in Chinnambedu, Chennai, offers strategic advantages due to its proximity to major seaports in Chennai and Ennore. Additionally, it provides excellent connectivity through rail and road networks, making it an ideal location for the facility.

The Growth of Electric Vehicles in India

The partnership between Welspun One and Montra Electric comes at a time when the demand for electric vehicles in India is on the rise. With increasing environmental consciousness and government initiatives promoting electric mobility, the EV sector in the country is experiencing significant growth. This collaboration is a testament to Welspun One's commitment to supporting and fueling this growth.

Welspun One's Investment in Tamil Nadu

As part of the ₹2,500 crore investment MoU signed with the Tamil Nadu government, Welspun One demonstrates its commitment to contributing to the economic development of the region. This investment will not only boost the EV manufacturing sector but also create employment opportunities and attract further investments to Tamil Nadu.

Unique Power Supply Solutions for EV Manufacturing

One of the critical requirements for EV manufacturing facilities is a reliable power supply. Welspun One has shown its exceptional ability to understand and address Montra Electric's unique power supply needs.

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This ensures a seamless operation of the build-to-suit facility and supports Montra Electric's vision of producing high-quality electric vehicles.

Conclusion

The collaboration between Welspun One Logistics Parks and Montra Electric is set to revolutionize the EV manufacturing sector in Chennai. The build-to-suit facility will provide the necessary infrastructure and support for the assembly of small commercial electric vehicles. With its strategic location, excellent connectivity, and commitment to regional economic growth, Welspun One is poised to contribute significantly to the development of the EV industry in India. This partnership marks an important milestone in the journey towards a greener and more sustainable future for transportation in the country.