NDR InvIT: Scaling a Perpetual Warehousing Platform with High Occupancy and Long Leases

NDR InvIT Trust has been building a case that India’s warehousing story is still early, and that a scaled, diversified portfolio can translate that structural growth into stable cash flows. As of June 30, 2026, the InvIT reported 22.97 msf of AUM across 102 warehouses in 18 locations, supported by 132 customers and a portfolio that is 93.5% Grade A. The operating picture is defined by high utilization and long visibility. Occupancy stood at 99.76% and weighted average lease expiry was 11.30 years as of March 31, 2026.

Financially, the platform shows a sharp step-up since listing. Revenue increased from INR 427.18 million in FY24 to INR 3,241.10 million in FY25 and INR 4,202.39 million in FY26. Profitability also strengthened. EBITDA margin expanded from 72.19% in FY24 to 86.91% in FY25 and 87.16% in FY26. Alongside growth, the InvIT highlights a 1.11x increase in NAV, from INR 128.27 in FY24 to INR 142.03 in FY26. The combination of scale, margin expansion, and a long-lease portfolio frames the pitch to investors: distributions and growth can coexist if acquisitions are disciplined and cost of capital stays competitive.

A platform built on scale, diversification, and lease visibility

NDR InvIT describes itself as India’s first perpetual warehousing and industrial parks InvIT. Its underlying network is spread across regions, with the portfolio weighted toward the South at 61%, followed by the West at 23%, North at 10%, and East at 6%. The city footprint includes large clusters such as Chennai (19 assets, 5.73 msf existing and 9 assets, 4.26 msf under ROFO), Bengaluru (9 assets, 2.60 msf existing and 4 assets, 1.77 msf under ROFO), and other nodes such as Mumbai, Pune, Goa, Coimbatore, Kolkata, and Delhi NCR.

Tenant diversification is central to the operating model. The InvIT reports that no single tenant contributes more than 5% of gross rental revenue, and the top 10 tenants contribute 31.09% of gross rentals. The top-10 tenant table underscores a mix of global and domestic players across logistics, e-commerce, industrials, and services, with WALEs ranging from under a year for some logistics tenants to above 18 years for a cloud and data center services provider. This blend reduces dependence on any one sector and helps explain the portfolio’s high occupancy.

The other pillar is lease durability and renewal performance. For FY26, leases up for renewal were 2.95 msf, or 13.3% of total area. Lease renewals were 2.47 msf with 0.48 msf attributed to new tenants, translating to an 84% retention rate. Similar retention was reported for FY25 at 84% and FY24 at 81%. These are not just tenant satisfaction metrics. They are a proxy for operating risk, leasing costs, and the probability that contractual escalations convert into real revenue.

India’s warehousing cycle supports the long-term thesis

The presentation leans heavily on the macro setup. It positions India as underpenetrated in warehousing stock versus developed markets, with lower average rents. It also highlights the ongoing shift toward Grade A assets in the top eight cities. Total warehouse stock increased from 291.6 msf in CY21 to 514.4 msf by 1QCY26, with Grade A growing from 155.6 msf to 293.3 msf over the same period. The broader message is that modern, compliant facilities are taking share, and Grade A rents have shown consistent appreciation.

Demand drivers cited include manufacturing growth, policy and infrastructure initiatives, supply chain diversification, and human capital cost advantages. On consumption-led demand, the presentation points to an expanding e-commerce market, forecast to grow from USD 67.0 billion in CY21 to USD 163.0 billion by CY26F, USD 345.0 billion by CY30F, and USD 550.0 billion by CY35F. It also references growth in the 3PL market from USD 36.1 billion in CY25 to USD 38.2 billion in CY26F and USD 50.6 billion by CY31F. Sector-wise Grade A absorption in CY25 is shown as diversified, led by 3PL and logistics at 27%, engineering at 17%, e-commerce at 13%, FMCG and retail at 13%, and auto and ancillaries at 12%.

For a warehousing InvIT, this macro context matters because growth must translate into leasing at the asset level. The long-run case is strongest when demand is broad-based, because it reduces the chance that a single sector downturn causes large vacancies or rent resets. NDR InvIT’s portfolio statistics align with that premise: 132 tenants, diversified sectors, and low single-tenant concentration.

Execution since listing and the path to the next scale step

NDR InvIT has expanded its leaseable area since the initial offering through acquisitions and additions. The portfolio expansion table shows growth from an initial portfolio of 16.91 msf to 22.17 msf by FY26, and then to 22.97 msf by June 30, 2026. The story is reinforced by a timeline of corporate actions. After the private listing in 2024 with INR 6,941.00 million of fresh issue, the platform raised INR 13,774.50 million through NCD issuance in 2025, and INR 4,100 million through NCD issuance in 2026. It also completed multiple acquisitions, including NDR Trade House, NDR Logix in Hyderabad, assets in Surat, MLG Warehousing and Industrial Park in Mohanlalganj, Lucknow, and later NDR Unique Space and NDR Big Box in 2026, along with NDR Space assets in Kochi and Coimbatore.

The next leg is framed through an IPO proposal and a pipeline of ROFO assets. The IPO fund raise summary outlines a total offering of INR 7,500 million, comprising a fresh issue of INR 4,500 million and an offer for sale of INR 3,000 million by Investcorp India Warehousing IFSC Trust. The stated use of proceeds for the fresh issue is primarily acquisitions: INR 2,976 million for 100% acquisition of NDR Advanced Storage Pvt. Ltd. across Chennai, Hyderabad, and Pune, and INR 842 million for 100% acquisition of NDR Storewell Warehousing LLP in Kochi, with less than 10% of net proceeds for general purposes.

On ROFO, the numbers are meaningful. The InvIT reports 23 ROFO assets with 10.56 msf of potential leasable area across 440.35 acres, taking total potential portfolio to 33.53 msf when added to the June 30, 2026 AUM of 22.97 msf. Chennai dominates the ROFO pipeline with 4.26 msf across nine assets. Bengaluru contributes 1.77 msf across four assets. Hyderabad adds 1.10 msf across two assets. Other additions include Hosur, Kochi, Lucknow, Kanpur, Ghaziabad, Kolkata, and Pune.

This expansion plan connects to the InvIT’s stated strategy. The first lever is embedded organic growth through contractual escalations and re-leasing at higher market rents. The second lever is scale, which the management expects to bring procurement advantages and operational leverage that can improve margins and reduce the cost of capital. The third is proactive asset management and disciplined acquisitions, backed by deep tenant relationships.

What investors should watch from here

NDR InvIT’s positioning is clear: high occupancy, long leases, and a largely Grade A portfolio are meant to produce stable rental cash flows. The operating metrics support that narrative, particularly 99.76% occupancy and 11.30 years of WALE. Financial performance since FY24 shows rapid scaling and strong EBITDA margins above 87% in FY26, alongside an increase in NAV from INR 128.27 to INR 142.03 over the same period.

The next questions are about how the platform grows without diluting quality. The ROFO pipeline is large relative to the existing base, and the proposed IPO structure outlines specific acquisitions across key markets. If the InvIT can maintain tenant diversification and renewal performance while integrating new assets, the scale benefits described in its strategy could become more visible in margins and distribution stability.

For investors, the takeaway is not that growth is guaranteed, but that the building blocks of a resilient warehousing InvIT are present in the disclosed numbers: high utilization, long lease tenor, diversified tenants, and a clearly articulated acquisition path. The platform theme for this phase is disciplined execution at scale, with the management’s ability to convert ROFO assets into accretive cash flows likely to define the next chapter.