Business

Kolkata Fifth Top City In Warehousing And Industrial Space Absorption In H1’2023

Kolkata witnessed strong demand for warehousing and industrial space in the first half of 2023, with net absorption of 1.3 million square feet, the fifth highest among the top eight cities in India, according to a report by JLL India.

The report, “H1’2023 India: Logistics and Industrial State of the Nation”, said that the cumulative Grade A and B supply in India’s Warehousing and Industrial sector is expected to reach 516 million square feet by 2026 backed by strong international and domestic corporate investment intent and USD 1813 billion infra pipeline from 7532 projects.

Mumbai topped in warehousing and industrial space in net absorption of grade A & B supply in the first half of 2023 with 4.26 million square feet, followed by Pune with 3.27 million square feet and Delhi with 2.34 million square feet. Kolkata stood fifth top city with net absorption of 1.3 million square feet.

“The logistics and industrial sector has shown resilience post-pandemic. A muted demand is privy to the global economic turmoil in recent quarters, We expect the logistics and industrial leasing to pick pace in the second half of this year and upward bias on rentals in select markets in the near future,” Yogesh Shevade, Head of Logistics & Industrial, JLL India, said.

“Kolkata is well-positioned to emerge as a key logistics hub in eastern India, given its strategic location and connectivity to key markets. The city is also home to a number of large manufacturing and distribution companies, which is driving demand for warehousing and industrial space,” officials said.

The report also found that third-party logistics providers dominated the leasing and industrial sector across the top eight cities, with a 43 percent share in the demand. FMCG and retail segment accounted for 15 percent of the leasing pie in H1’2023 against 23 percent during the same period last year. Auto and engineering segments cornered 23 percent share of the leasing.

The leasing in the industrial sector witnessed year-on-year rental growth of 6.5 percent in H1 2023, touching an Indian average of Rs 23 per square foot per month for grade A spaces. Pune, Chennai, and Bengaluru led the average rental growth in Grade A leasing stocks.

Sources PTI

Also read: Russia Shoots Down 20 Ukrainian Drones Near Crimean Border

Bharat Express English

Recent Posts

How US Presidential Election Is Conducted – Explained

The US presidential election is a complex, multi-step process that involves both voters and an…

15 mins ago

Mumbai Police Uncover Connections & Weapons In Baba Siddiqui Murder Investigation

The Mumbai Police disclosed that the firearms used to assassinate late NCP leader Baba Siddiqui…

1 hour ago

Mumbai Police Investigate New Death Threat Against Salman Khan Linked To Gangster Lawrence Bishnoi

Mumbai Police is investigating a threatening message directed at actor Salman Khan, allegedly originating from…

1 hour ago

Uttar Pradesh Government To Tighten Control Over DGP Appointment Before By-Elections

Ahead of the by-elections, CM Yogi Adityanath's government in Uttar Pradesh will take greater control…

2 hours ago

Somy Ali Opens Up About Her Past With Salman Khan, Says “Being Known As His Ex Is A Curse”

Somy Ali, the former Bollywood actress and dedicated social worker, has shared her feelings about…

2 hours ago

External Affairs Minister S Jaishankar Raises Alarm Over Attack On Hindu Temple In Canada

External Affairs Minister S Jaishankar expressed grave concerns regarding the recent violent incident at a…

3 hours ago