According to it, Delhi-NCR continued to steer demand with 25.0% share, carefully adopted by Mumbai at 24.6%.

According to it, Delhi-NCR continued to steer demand with 25.0% share, carefully adopted by Mumbai at 24.6%.

While a lot of the cities noticed a single digit change in demand, Mumbai witnessed a notable 28% YoY improve in leasing in the course of the first half, largely pushed by growth from gamers in 3PL sector, the report mentioned.

While a lot of the cities noticed a single digit change in demand, Mumbai witnessed a notable 28% YoY improve in leasing in the course of the first half, largely pushed by growth from gamers in 3PL sector, the report mentioned.

Despite the worldwide financial headwinds, the economic and warehousing sector is seeing regular development backed by rising capital investments, manufacturing output and authorities coverage enablers.

Despite the worldwide financial headwinds, the economic and warehousing sector is seeing regular development backed by rising capital investments, manufacturing output and authorities coverage enablers.

The constant development in leasing was primarily pushed by 3PL (third-party logistics) operators, accounting for 37% of whole leasing in the course of the first half of 2023 adopted by FMCG and Engineering corporations with a share of 12% and 11% respectively.

The constant development in leasing was primarily pushed by 3PL (third-party logistics) operators, accounting for 37% of whole leasing in the course of the first half of 2023 adopted by FMCG and Engineering corporations with a share of 12% and 11% respectively.

“While 3PL continues to steer demand, leasing by FMCG and engineering corporations throughout the key markets in India witnessed a major rise in the course of the first half of 2023. Notably, demand from E-commerce rose 68% YoY, after a lull in the previous few quarters. The total demand for the economic and warehousing market has been bolstered by varied elements, together with elevated manufacturing capability, sturdy authorities coverage help and inclusion of extra automated and course of pushed manufacturing,” Vijay Ganesh, Managing Director, Industrial & Logistics Services, Colliers India mentioned.

“While 3PL continues to steer demand, leasing by FMCG and engineering corporations throughout the key markets in India witnessed a major rise in the course of the first half of 2023. Notably, demand from E-commerce rose 68% YoY, after a lull in the previous few quarters. The total demand for the economic and warehousing market has been bolstered by varied elements, together with elevated manufacturing capability, sturdy authorities coverage help and inclusion of extra automated and course of pushed manufacturing,” Vijay Ganesh, Managing Director, Industrial & Logistics Services, Colliers India mentioned.

“While 3PL gamers are more likely to dominate demand, we count on sturdy & regular momentum in leasing from different segments as effectively,” he added.

“While 3PL gamers are more likely to dominate demand, we count on sturdy & regular momentum in leasing from different segments as effectively,” he added.

Amidst regular demand for high quality Grade A warehousing areas, emptiness ranges in the course of the first half of the yr dropped by 110 foundation factors (bps) to 10.0%. This interval noticed recent provide of 10.7 mn sq ft, a ten% dip YoY, as builders remained watchful on the evolving demand situation, the report mentioned.

Amidst regular demand for high quality Grade A warehousing areas, emptiness ranges in the course of the first half of the yr dropped by 110 foundation factors (bps) to 10.0%. This interval noticed recent provide of 10.7 mn sq ft, a ten% dip YoY, as builders remained watchful on the evolving demand situation, the report mentioned.

During the six-month interval, the second quarter noticed some moderation in demand with 4.0 mn sq ft of leasing. Pune led the demand in the course of the quarter with 26% share.

During the six-month interval, the second quarter noticed some moderation in demand with 4.0 mn sq ft of leasing. Pune led the demand in the course of the quarter with 26% share.

“Despite international financial headwinds, India’s industrial & warehousing market remained resilient within the first half of the yr. Buoyed by favorable demand-supply dynamics, emptiness ranges dropped by 110 bps to 10%. Resultantly, total leases inched upwards marginally. India’s excessive efficiency financial indicators are displaying encouraging indicators of enchancment, with regular beneficial properties in manufacturing output & funding. This augurs effectively for the sector within the brief to medium time period,” mentioned Vimal Nadar, Senior Director & Head of Research, Colliers India.

“Despite international financial headwinds, India’s industrial & warehousing market remained resilient within the first half of the yr. Buoyed by favorable demand-supply dynamics, emptiness ranges dropped by 110 bps to 10%. Resultantly, total leases inched upwards marginally. India’s excessive efficiency financial indicators are displaying encouraging indicators of enchancment, with regular beneficial properties in manufacturing output & funding. This augurs effectively for the sector within the brief to medium time period,” mentioned Vimal Nadar, Senior Director & Head of Research, Colliers India.

While 3PL gamers drove demand in the course of the interval, the share of leasing by 3PL gamers dipped to 37% from 53% in H1 2022. At the identical time, leasing by FMCG gamers skilled a formidable three-fold rise as they expanded their presence in key markets comparable to Delhi-NCR and Mumbai.

While 3PL gamers drove demand in the course of the interval, the share of leasing by 3PL gamers dipped to 37% from 53% in H1 2022. At the identical time, leasing by FMCG gamers skilled a formidable three-fold rise as they expanded their presence in key markets comparable to Delhi-NCR and Mumbai.

The report mentioned that in H1 2023, giant offers (>100,000 sq ft) accounted for about 75% of the demand. Amongst these bigger offers, 3PL corporations contributed to a lion’s share, adopted by FMCG and Engineering gamers. Mumbai adopted by Pune dominated the chunk of large-sized offers throughout the highest 5 cities.

The report mentioned that in H1 2023, giant offers (>100,000 sq ft) accounted for about 75% of the demand. Amongst these bigger offers, 3PL corporations contributed to a lion’s share, adopted by FMCG and Engineering gamers. Mumbai adopted by Pune dominated the chunk of large-sized offers throughout the highest 5 cities.