<p data-path-to-node="5" id="p-rc_b9e3a78873c6e35e-55"><span data-path-to-node="5,0"><b data-path-to-node="5,0" data-index-in-node="0"><span class="citation-64">NEW DELHI</span></b><span class="citation-64"> — India’s industrial and logistics real estate market has scaled an all-time high in the first half of 2026, recording gross leasing absorption of 36.2 million square feet (MSF) across the country’s top tier-1 cities</span></span><span data-path-to-node="5,1"><span class="citation-64 citation-end-64"><source-footnote ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c1157387347=""><sup _ngcontent-ng-c1157387347="" class="superscript" data-turn-source-index="4"><!----></sup></source-footnote></span></span><span data-path-to-node="5,2">. </span><span data-path-to-node="5,3"><span class="citation-63"></span></span><span data-path-to-node="5,4">The historic throughput represents a robust 18% year-on-year expansion compared to H1 2025, underscoring the deep structural resilience and rapid institutionalization of India's warehousing ecosystem</span><span data-path-to-node="5,5"><span class="citation-63 citation-end-63"><source-footnote ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c1157387347=""><sup _ngcontent-ng-c1157387347="" class="superscript" data-turn-source-index="5"><!----></sup></source-footnote></span></span><span data-path-to-node="5,6">.</span><sources-carousel-inline ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c4253339497=""><!----></sources-carousel-inline></p><h3 data-path-to-node="6"><b data-path-to-node="6" data-index-in-node="0">3PL and Manufacturing Sectors Drive Space Take-Up</b></h3><p data-path-to-node="7" id="p-rc_b9e3a78873c6e35e-56"><span data-path-to-node="7,0"><span class="citation-62"></span></span><span data-path-to-node="7,1">According to the latest market benchmarks compiled by commercial real estate and supply chain analytics groups, Third-Party Logistics (3PL) providers remained the largest driver of warehousing space demand, accounting for approximately 34% of total gross absorption</span><span data-path-to-node="7,2"><span class="citation-62 citation-end-62"><source-footnote ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c1157387347=""><sup _ngcontent-ng-c1157387347="" class="superscript" data-turn-source-index="6"><!----></sup></source-footnote></span></span><span data-path-to-node="7,3">. </span><span data-path-to-node="7,4"><span class="citation-61"></span></span><span data-path-to-node="7,5">The sustained expansion of 3PL players reflects growing outsourcing trends among enterprise clients looking to build agile, multi-node fulfillment grids</span><span data-path-to-node="7,6"><span class="citation-61 citation-end-61"><source-footnote ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c1157387347=""><sup _ngcontent-ng-c1157387347="" class="superscript" data-turn-source-index="7"><!----></sup></source-footnote></span></span><span data-path-to-node="7,7">.</span><sources-carousel-inline ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c4253339497=""><!----></sources-carousel-inline></p><p data-path-to-node="8" id="p-rc_b9e3a78873c6e35e-57"><span data-path-to-node="8,0"><span class="citation-60"></span></span><span data-path-to-node="8,1">Following 3PL operators, engineering, industrial manufacturing, and automotive occupiers captured a significant share of space absorption</span><span data-path-to-node="8,2"><span class="citation-60 citation-end-60"><source-footnote ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c1157387347=""><sup _ngcontent-ng-c1157387347="" class="superscript" data-turn-source-index="8"><!----></sup></source-footnote></span></span><span data-path-to-node="8,3">. </span><span data-path-to-node="8,4"><span class="citation-59"></span></span><span data-path-to-node="8,5">The expansion in manufacturing-led warehousing is largely attributed to central state policy incentives, including the Production Linked Incentive (PLI) framework and accelerated infrastructure investments under the National Logistics Policy (NLP)</span><span data-path-to-node="8,6"><span class="citation-59 citation-end-59"><source-footnote ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c1157387347=""><sup _ngcontent-ng-c1157387347="" class="superscript" data-turn-source-index="9"><!----></sup></source-footnote></span></span><span data-path-to-node="8,7">.</span><sources-carousel-inline ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c4253339497=""><!----></sources-carousel-inline></p><h3 data-path-to-node="9"><b data-path-to-node="9" data-index-in-node="0">Regional Breakdown and Key Tier-1 Hub Performance</b></h3><p data-path-to-node="10" id="p-rc_b9e3a78873c6e35e-58"><span data-path-to-node="10,0"><span class="citation-58"></span></span><span data-path-to-node="10,1">Delhi NCR emerged as the primary regional demand driver, leading national absorption figures with 8.7 MSF of leased space during the six-month period</span><span data-path-to-node="10,2"><span class="citation-58 citation-end-58"><source-footnote ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c1157387347=""><sup _ngcontent-ng-c1157387347="" class="superscript" data-turn-source-index="10"><!----></sup></source-footnote></span></span><span data-path-to-node="10,3">. </span><span data-path-to-node="10,4"><span class="citation-57"></span></span><span data-path-to-node="10,5">Growth was heavily concentrated along major arterial road links including the Western Peripheral Expressway (WPE) and key industrial clusters in Gurgaon and Faridabad</span><span data-path-to-node="10,6"><span class="citation-57 citation-end-57"><source-footnote ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c1157387347=""><sup _ngcontent-ng-c1157387347="" class="superscript" data-turn-source-index="11"><!----></sup></source-footnote></span></span><span data-path-to-node="10,7">.</span><sources-carousel-inline ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c4253339497=""><!----></sources-carousel-inline></p><p data-path-to-node="11">Meanwhile, southern and western industrial corridors demonstrated heightened momentum:</p><ul data-path-to-node="12"><li><p data-path-to-node="12,0,0"><span class="citation-56"></span></p><p data-path-to-node="12,0,1" id="p-rc_b9e3a78873c6e35e-59"><span data-path-to-node="12,0,1,0"><b data-path-to-node="12,0,1,0" data-index-in-node="0"><span class="citation-56">Chennai & Pune:</span></b><span class="citation-56"> Both markets posted impressive annual absorption gains, heavily buoyed by electronics manufacturing, electric vehicle (EV) assembly lines, and automotive component supplier clusters</span></span><span data-path-to-node="12,0,1,1"><span class="citation-56 citation-end-56"><source-footnote ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c1157387347=""><sup _ngcontent-ng-c1157387347="" class="superscript" data-turn-source-index="12"><!----></sup></source-footnote></span></span><span data-path-to-node="12,0,1,2">.</span><sources-carousel-inline ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c4253339497=""><!----></sources-carousel-inline></p></li><li><p data-path-to-node="12,1,0"><span class="citation-55"></span></p><p data-path-to-node="12,1,1" id="p-rc_b9e3a78873c6e35e-60"><span data-path-to-node="12,1,1,0"><b data-path-to-node="12,1,1,0" data-index-in-node="0"><span class="citation-55">Mumbai & Bengaluru:</span></b><span class="citation-55"> Maintained steady leasing velocity driven by quick-commerce consolidation, cold-chain expansion, and high-spec Grade-A logistics parks</span></span><span data-path-to-node="12,1,1,1"><span class="citation-55 citation-end-55"><source-footnote ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c1157387347=""><sup _ngcontent-ng-c1157387347="" class="superscript" data-turn-source-index="13"><!----></sup></source-footnote></span></span><span data-path-to-node="12,1,1,2">.</span><sources-carousel-inline ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c4253339497=""><!----></sources-carousel-inline></p></li></ul><h3 data-path-to-node="13"><b data-path-to-node="13" data-index-in-node="0">Grade-A Assets Command Premium Valuations</b></h3><p data-path-to-node="14" id="p-rc_b9e3a78873c6e35e-61"><span data-path-to-node="14,0"><span class="citation-54"></span></span><span data-path-to-node="14,1">Institutional investors and developers continue to prioritize high-spec, Grade-A logistics parks equipped with IoT-enabled warehouse management systems, solar rooftop integrations, and automated dock doors</span><span data-path-to-node="14,2"><span class="citation-54 citation-end-54"><source-footnote ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c1157387347=""><sup _ngcontent-ng-c1157387347="" class="superscript" data-turn-source-index="14"><!----></sup></source-footnote></span></span><span data-path-to-node="14,3">. </span><span data-path-to-node="14,4"><span class="citation-53"></span></span><span data-path-to-node="14,5">The flight to quality has resulted in tightening vacancy rates across prime industrial corridors, putting modest upward pressure on rental yields in high-demand submarkets</span><span data-path-to-node="14,6"><span class="citation-53 citation-end-53"><source-footnote ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c1157387347=""><sup _ngcontent-ng-c1157387347="" class="superscript" data-turn-source-index="15"><!----></sup></source-footnote></span></span><span data-path-to-node="14,7">.</span><sources-carousel-inline ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c4253339497=""><!----></sources-carousel-inline></p><p data-path-to-node="15" id="p-rc_b9e3a78873c6e35e-62"><span data-path-to-node="15,0"><span class="citation-52"></span></span><span data-path-to-node="15,1">Industry analysts project that total annual industrial and logistics leasing for 2026 will breach the 65 MSF threshold, driven by sustained domestic consumption, export-oriented manufacturing pushes, and ongoing supply chain diversification</span><span data-path-to-node="15,2"><span class="citation-52 citation-end-52"><source-footnote ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c1157387347=""><sup _ngcontent-ng-c1157387347="" class="superscript" data-turn-source-index="16"><!----></sup></source-footnote></span></span><span data-path-to-node="15,3">.</span></p>
India’s Industrial and Logistics Leasing Touches Historic Record of 36.2 MSF in H1 2026
According to the latest market benchmarks compiled by commercial real estate and supply chain analytics groups, Third-Party Logistics (3PL) providers remained the largest driver of warehousing space demand, accounting for approximately 34% of total gross absorption. The sustained expansion of 3PL players reflects growing outsourcing trends among enterprise clients looking to build agile, multi-node fulfillment grids.
