India’s Grade-A Warehousing sector is all prepared to show a rapid growth of 15& by 2025. As per CREDAI & Anarock, warehousing is prepared to become a whopping 2.8 billion industry in the near future. The growth would be propelled by increasing demands as Grade-B & Grade-C office spaces are lagging behind in terms of space for latest and voluminous infrastructure. “Government thrust on ease of doing business with focus on single window clearances by many states, land allotment, and even faster environmental clearances are aiding this sector extensively. This is the reason that its demand is increasing not only in metro cities but tier-II and -III cities as well rapidly,” said Harsh Vardhan Patodia, President, CREDAI.
Within a decade, India has managed to revamp its outlook towards the warehousing sector thus raising its position from mere godown structures to a prominent asset class. As per reports, a total of 48.5 million sq ft of Grade-A warehouses have been leased in top 7 cities in 2021 and it’s expected to reach 55.8 million sq ft by end of 2023. It said that the total area leased for Grade-A warehousing space in 7 cities was 160 million sq ft, with the largest share of 37 per cent leased area in western region (Mumbai and Pune), followed by 32 per cent in southern region (Bengaluru, Chennai and Hyderabad). Third party logistics, e-commerce & manufacturing have become the top 3 warehouse leasing spaces across the 7 cities.
