TVS Motor’s 29-year Krishnagiri lease spotlights Rs 106 crore build-to-suit warehouse plan

Filings cited by YourStory show Hanno One Warehousing developing a 3.30 lakh sq ft industrial facility on 17.41 acres leased by TVS Motor in Krishnagiri. The Rs 106 crore project is expected to begin generating rental income from November 2026, alongside a proposed Mysuru expansion.

— Source publishedThu, 24 Sept, 2026, 11:33 IST·First seen Thu, 24 Sept, 2026, 12:47 IST·Source YourStory

What happened

TVS Motor Company · TVS Motor leased 17.41 acres in Krishnagiri to Hanno One Warehousing for 29 years, with Hanno building a facility that TVS will rent.

Key facts

  • 17.41 acres
  • 29-year lease
  • Rs 106 crore project
  • 3,30,418 sq ft industrial shed
  • Rs 76.85 crore EPC contract excluding GST
  • Rs 60 crore HDFC Bank charge
  • Rs 10.86 crore director loan
  • 3.84 lakh sq ft approved built-up area
  • Rs 27 crore Mysuru land allotment
  • Rs 7.91 crore paid toward Mysuru land

Why this matters

The Krishnagiri lease and proposed Mysuru expansion signal a broader regional logistics-network buildout, creating potential opportunities for warehousing, transport, automation and adjacent supply-chain partners.

What to watch

  • Construction milestones, regulatory approvals and evidence that commissioning remains on track for November 2026.
  • Disclosure of lease rentals, escalation clauses, fit-out responsibilities, renewal options and minimum operating commitments.
  • TVS Motor production, wholesales, dealer inventory days and southern-region retail growth through 2025-2027.
  • Progress on the proposed Mysuru expansion and whether it is positioned as manufacturing, warehousing or integrated logistics capacity.
  • Warehouse tenant concentration, third-party logistics partnerships and any capacity-sharing provisions.
  • EV sales mix and spare-parts demand that could change the facility’s required storage and safety specifications.
  • Phase inventory migration and transport contracts ahead of the expected November 2026 rental commencement.
  • Use the Krishnagiri site to consolidate southern spare-parts and accessory inventory, where service-level gains may be more durable than finished-vehicle storage alone.
  • Align Mysuru expansion plans with a hub-and-spoke network to avoid duplicate capacity and inter-warehouse inventory transfers.
  • Negotiate operating KPIs with the developer and logistics partners covering throughput, dock turnaround, inventory accuracy, energy uptime and expansion options.
  • Monitor whether the facility is designed for EV-related handling, battery safety, charging and reverse-logistics requirements.

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