News
Warehousing absorption stands at 34mn sqft in 2019, expected to grow by 20% in 2020
- Warehousing Stock: In the year 2019, warehouse absorption stood at 34 Mn sq. ft. and Vacancy less than 10% in all of India. Outlook for 2020 remains positive with a 20% growth mainly driven by Manufacturing Sector Leasing more and 3PL & Ecomm increasing their needs in Tier-II cities.
| Warehousing Stock across top cities | ||
| City | Supply | Absorption |
| Ahmedabad | 3.3 mn Sqft | 1.85 mn Sqft |
| Bangalore | 6.36 mn Sqft | 5.5 mn Sqft |
| Chennai | 3.92 mn Sqft | 3.5 mn Sqft |
| Delhi | 8.1 mn Sqft | 7.75 mn Sqft |
| Hyderabad | 2.9 mn Sqft | 2.1 mn Sqft |
| Kolkata | 3.96 mns Sqft | 3.31 mn Sqft |
| Mumbai | 5.7 mn Sqft | 5.5 mn Sqft |
| Pune | 3.7 mn Sqft | 3.5 mn Sqft |
- Rental Stock: The year 2019 saw a major push on specifications and compliance from occupiers with Rents moving up by 5% to 10%. The Outlook will focus on Grade A Speculative Stock which is Compliant & Improved Specifications from Developers.
- Land: 2019 saw 3500 acres being transacted with the majority being outright purchase followed by JVs and JDs apart from few marque assets.
- Sectoral overview: The manufacturing sector absorbed around 6 Mn sq. ft. pan India. Ecommerce and 3PL leased around 20 Mn sq. ft. all India. SMEs & Electronic components manufacturers and the Auto sector leased significantly in few cities in India.
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