Indeed, the year witnessed a 22-per-cent, year-on-year (YoY) growth in total stock in Grade A and B warehousing space in the top eight cities, while total inventory in these cities evolved to 169 million sq ft in 2018 from 138 million sq ft a year ago. Interestingly, according to JLL, the absorption in total warehousing space also witnessed over 50 per cent growth YoY, reaching almost 32 million sq ft in 2018. Built-to-suit developments constituted 26 per cent of the absorption last year. Clearly, demand is outstripping supply significantly, with vacancies dropping below 10 per cent for the first time ever.
Source: JLL Industrial Research 2019 for Grade-A & B spaces in top 8 cities in India
*includes BTS spaces
Cities Driving Opportunities
2018 warehousing absorption (million sq ft)