HUL Secures Massive 6 Lakh Sq Ft Warehousing Facility Near Mumbai for 7 Years

Mumbai’s Warehousing Sector Gets a Boost

Hindustan Unilever (HUL), a leading consumer goods giant, has made a significant move by leasing a large warehousing facility spanning 600,000 square feet in Bhiwandi, near Mumbai. This 7-year deal stands out as one of the largest warehouse transactions in the Mumbai Metropolitan Region (MMR) in recent times.

Key Lease Terms & Financials

HUL will be paying over ₹1.5 crore in monthly rent for the first year, with an annual rent escalation of 5%. The total rental commitment over the contract period is expected to surpass ₹150 crore. The agreement also involved a substantial security deposit, equivalent to six months’ rent, and was officially registered in the first week of the month, as per Propstack records.

Supporting HUL’s Expanding Logistics Network

The newly leased warehouse will serve as a critical cluster fulfillment hub for HUL, helping the company enhance its logistics and distribution capabilities across the MMR. Logistics experts note that this facility will play a pivotal role in streamlining HUL’s operations, meeting growing market demand, and ensuring efficient product availability.

A Growing Trend in FMCG Warehousing

HUL’s move is part of a broader trend among large corporations to expand their logistics infrastructure in strategically located hubs like Bhiwandi. This initiative aligns with the company’s focus on optimizing its supply chain, which includes a network of regional fulfillment centers and modern distribution hubs.

Increasing Demand for Warehousing in India

In recent years, demand for warehousing space, particularly from FMCG companies, has surged. HUL’s investment in strategically located facilities, close to major consumption markets like Mumbai, Bengaluru, and Delhi, reflects this ongoing trend of warehousing expansion, especially in secondary markets such as Bhiwandi, which play a crucial role in national distribution.

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