New Delhi [India] Industrial and warehousing leasing activity across five cities – Chennai, Mumbai, Delhi NCR, Pune and Bengaluru remained buoyant at 7 million sq ft during Q1 2024, with Mumbai and Chennai leading the way. According to professional services and investment management company Colliers, demand with around 55 per cent share, around 33 per cent of new Grade A developments in the first quarter were concentrated in Delhi NCR. Interestingly, the Colliers report claimed that, specifically Overall, leasing remained strong in Chennai. There was almost double the leasing activity in the industrial and warehousing space in January-March 2024 compared to the same period last year. Among the top five cities, Bhiwandi in Mumbai was the most active market with 1.7 million sq ft of grade demand. Q1 2024. Bhiwandi was followed by Chennai's Oragadam, which overtook the leasing activity of Pune's Chakan Talegaon for the first time in some time. Third-party logistics players continued to be the top capturers in the industry and warehousing sector, contributing more than 40%.Percentage of total warehouse demand. The gain in the third-party logistics sector was driven by healthy activity, particularly in Chennai. The city accounted for about 43 percent of the total activity among the top five cities. At the all-India level, retail players accounted for 16 per cent of the demand during this period. Engineering and automobile companies each accounted for 12 percent in the quarter.
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“This signals a shift in consumption patterns and indicates emerging opportunities in the sector from steady demand diversification,” said Vija Ganesh, managing director, industrial and logistics services, Colliers India. The segment has seen strong growth post COVID-19 and has seen 2.3x leasing during January-March 2024 compared to the same period in 2023.With the increasing focus on digital infrastructure and changing consumer patterns, the e-commerce segment is likely to witness further growth and creation. Higher demand for warehouses Additionally, the rise of quick-commerce players is also likely to drive demand for larger hub-warehouses, “Overall, a good start to the year is expected to translate into a healthy performance of the industrial and warehouse sector in 2024.” Has the ability to." Sai Vimal Nadar, Senior Director and Head of Research, Colliers India.
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“This signals a shift in consumption patterns and indicates emerging opportunities in the sector from steady demand diversification,” said Vija Ganesh, managing director, industrial and logistics services, Colliers India. The segment has seen strong growth post COVID-19 and has seen 2.3x leasing during January-March 2024 compared to the same period in 2023.With the increasing focus on digital infrastructure and changing consumer patterns, the e-commerce segment is likely to witness further growth and creation. Higher demand for warehouses Additionally, the rise of quick-commerce players is also likely to drive demand for larger hub-warehouses, “Overall, a good start to the year is expected to translate into a healthy performance of the industrial and warehouse sector in 2024.” Has the ability to." Sai Vimal Nadar, Senior Director and Head of Research, Colliers India.
