INDUSTRIAL REAL ESTATE REPORT Q4/2024

The Indian industrial and warehousing sector witnessed significant growth in 2024, with a 30% year-on-year increase in absorption, driven primarily by the expansion of the 3PL (Third-Party Logistics) and manufacturing sectors. Major cities like Delhi-NCR, Mumbai, and Bengaluru contributed substantially to this demand. Additionally, new supply additions surged, while rental rates remained stable in most regions.

Total absorption reached 46.6 million sq ft, reflecting a 30% YoY growth.

Delhi-NCR led the absorption with 12.8 million sq. ft, followed by Mumbai (9.2 million sq ft) and Bengaluru (6.3 million sq ft).

The 3PL sector accounted for 40% of total absorption, while manufacturing contributed 25%.

48.5 million sq ft of new supply was introduced, marking a 35% increase from 2023.

Rental rates remained stable across major industrial hubs, with minor increases in high-demand micro-markets.