Country adds 27 msf warehousing space to touch 238 msf mark in 2020
New Delhi: The country has added added 27 million square feet of warehousing space in the top 8 cities to touch 238 million square feet mark in 2020.
The demand for warehousing space is likely to grow about 160 percent to reach 35 million square feet in 2021, according to a report by JLL.
“In Q4, the market started gaining momentum with highest supply and absorption in 2020 post the lockdown. Industrial spaces witnessed a 13 percent year on year growth in total stock in Grade A & B warehousing space in top eight cities. The overall warehousing space stands at 238 million square feet at the end of 2020 compared to 211 million square feet in the previous year thereby resulting in a net supply of 27 million square feet,” said Yogesh Shevade, Head Industrial Services, JLL, India.
The 3PL and e-commerce players were reponsbile for more than 55 percent of all the absorption of warehousing space in the country. About 15 tier 2 cities are now gaining strength in the warehousing industry. ‘Built manufacturing’ has emerged as sunrise segment with about 6.6 million square feet of absorption in 2020.