FREIGHT forwarding and logistics provider SDV will open the doors to its first $55 million "green" warehouse in Singapore that touts eco-friendly materials and equipment.

The company's director, Yves Laforgue, said the facility was built in response to the rapid growth of the luxury retail market in Asia.

SDV is a unit of France's Bollore Group. Apart from building on its historical strength in aerospace, oil and gas and healthcare, SDV has leveraged on its French roots to develop the luxury retail sector in Asia, focusing on fashion, perfumes and cosmetics brands.

The company, which has seen strong growth in recent years, is also in need of an expansion, Mr Laforgue said.

SDV is currently operating on rented space. Mr Laforgue said the company needed its own warehouse to control rental costs and design specifications, which would be in accordance with SDV and its clients' needs.

The four-storey, ramp-up warehouse will have a nine-storey production area and office space covering 42,114 square metres.

It will adopt energy-saving features, such as an eco-efficient aircon system, sensors for controlling fresh-air supply and innovative lighting technologies.

"If we were going to build a green warehouse, we would go for the highest standards," Mr Laforgue said.

The warehouse has been designed to ensure compliance with the highest environmental standards, and it became the first warehouse here to bag the Green Mark Platinum award in March this year.

It will also be the largest logistics centre in Asia to obtain the LEED Gold certification, an internationally recognised green building certification developed by the US Green building Council.

The functions of the new warehouse include managing clients' stock, kitting, providing labelling services to facilitate the products' adaptation to local markets, and storage and distribution.

"The new warehouse is going to be a regional distribution centre mainly for the cosmetics and luxury fashion industries," said Mr Laforgue.

It will serve "a limited number" of premium brands in these industries with both regional distribution needs and sustainable development strategies.

"We will be able to provide these clients with a 20 per cent growth over the next five to six years," Mr Laforgue said.