India's Warehousing Market: A Tale of Two Cities - Delhi-NCR Sees Decline, Chennai Witnesses Surge
According to a recent report by real estate consultant Vestian, the warehousing market in India is witnessing a mixed trend. While Delhi-NCR has seen a decline in demand, Chennai has emerged as a bright spot with a significant surge in warehousing absorpt
Warehousing MarketDelhincrChennaiEcommerceLogisticsVestianReal Estate PuneAug 18, 2024
The report highlights that the warehousing market in Delhi-NCR has been impacted by the ongoing pandemic, which has led to a decline in demand for warehousing space. The region, which was once a hub for warehousing and logistics, has seen a significant decline in absorption rates, with many developers struggling to find occupants for their completed projects.
On the other hand, Chennai has emerged as a bright spot in the Indian warehousing market. The city has seen a significant surge in warehousing absorption, driven by the growth of the e-commerce and logistics sectors. The report highlights that Chennai's strategic location, coupled with its well-developed infrastructure, has made it an attractive destination for warehousing and logistics companies.
The growth of e-commerce in India has been a major driver of the warehousing market, with many e-commerce companies setting up their warehouses in cities like Chennai. The report highlights that e-commerce companies require large warehouses to store their inventory, which has led to an increase in demand for warehousing space in cities like Chennai.
Another factor that has contributed to the growth of the warehousing market in Chennai is the city's well-developed infrastructure. The city has a well-developed port, which makes it an ideal location for companies that require easy access to sea routes. Additionally, the city has a well-developed road network, which makes it easy to transport goods to other parts of the country.
The report also highlights that the warehousing market in Mumbai and Pune is expected to witness significant growth in the coming years. Both cities have seen a surge in demand for warehousing space, driven by the growth of the e-commerce and logistics sectors.
In conclusion, the Indian warehousing market is witnessing a mixed trend, with some cities witnessing a decline in demand while others are seeing a significant surge. While Delhi-NCR has seen a decline in demand, Chennai has emerged as a bright spot with a significant surge in warehousing absorption.
Vestian is a leading real estate consultant that provides advisory services to clients across various sectors, including warehousing and logistics.
Vestian is a leading real estate consultant that provides advisory services to clients across various sectors, including warehousing and logistics. With a team of experienced professionals, Vestian provides customized solutions to its clients, helping them make informed decisions about their real estate investments.
Frequently Asked Questions
What is the current trend in the Indian warehousing market?
The Indian warehousing market is witnessing a mixed trend, with some cities witnessing a decline in demand while others are seeing a significant surge.
Which city has seen a decline in warehousing demand?
Delhi-NCR has seen a decline in warehousing demand, according to a recent report by Vestian.
Which city has emerged as a bright spot in the Indian warehousing market?
Chennai has emerged as a bright spot in the Indian warehousing market, with a significant surge in warehousing absorption.
What is driving the growth of the warehousing market in Chennai?
The growth of e-commerce and logistics sectors, coupled with Chennai's strategic location and well-developed infrastructure, is driving the growth of the warehousing market in the city.
Which other cities are expected to witness significant growth in the warehousing market?
Mumbai and Pune are expected to witness significant growth in the warehousing market in the coming years, driven by the growth of e-commerce and logistics sectors.
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