Kolkata Sees Significant 28% Year-Over-Year Growth in Warehouse Leasing in 2024
According to a recent survey by real estate consultancy firm Knight Frank India, Kolkata has witnessed a significant 28% year-over-year growth in warehouse leasing in 2024, recording 6.5 million square feet of new leases.
Warehouse LeasingReal EstateKolkataEcommerceIndustrial GrowthReal EstateMar 16, 2025
The surge in warehouse leasing can be attributed to several key factors. Firstly, the growing e-commerce sector has driven demand for modern, efficient warehousing facilities. With more consumers shopping online, the need for robust infrastructure to support logistics and distribution has become paramount. Secondly, the strategic location of Kolkata, being a major port city and a gateway to the northeastern states, makes it an attractive hub for logistics and supply chain operations.
Knight Frank India’s research highlights that the industrial and logistics sectors in Kolkata are witnessing a transformation. The city’s infrastructure improvements, such as better road connectivity and the expansion of ports, have played a crucial role in attracting investments. Additionally, government initiatives and policies aimed at promoting industrial growth have further bolstered the leasing activity in the region.
The increase in warehouse leasing is not limited to a single sector. While e-commerce continues to be a major driver, other industries such as manufacturing, retail, and pharmaceuticals are also contributing to the demand. The versatility of warehouse spaces, which can be customized to meet the specific needs of different sectors, has made them a preferred choice for businesses looking to expand their operations.
Real estate experts predict that the trend of increased warehouse leasing is likely to continue in the coming years. As the economy grows and more companies look to establish a strong presence in the eastern region, the demand for warehouse space is expected to rise. Moreover, the development of industrial corridors and special economic zones (SEZs) in and around Kolkata is expected to further stimulate the market.
However, challenges such as the availability of skilled labor and the need for continuous infrastructure upgrades remain areas of concern. Developers and investors are focusing on addressing these issues to ensure sustained growth in the warehouse leasing sector. The emphasis on sustainability and the adoption of green building practices are also gaining traction, with many new warehouses being designed to meet environmental standards.
In conclusion, the 28% year-over-year growth in warehouse leasing in Kolkata is a testament to the city’s growing importance in the industrial and logistics landscape. With ongoing infrastructure improvements and favorable business conditions, the future looks promising for the real estate sector in Kolkata.
Frequently Asked Questions
What is the main reason for the 28% year-over-year growth in warehouse leasing in Kolkata?
The primary driver for the 28% year-over-year growth in warehouse leasing in Kolkata is the surge in demand from the e-commerce sector, which requires robust logistics and distribution infrastructure.
Which other sectors are contributing to the demand for warehouse space in Kolkata?
Other sectors contributing to the demand for warehouse space in Kolkata include manufacturing, retail, and pharmaceuticals, alongside the dominant e-commerce sector.
What role have infrastructure improvements played in attracting investments to Kolkata's warehouse leasing market?
Improved infrastructure, such as better road connectivity and the expansion of ports, has made Kolkata an attractive hub for logistics and supply chain operations, thereby attracting more investments.
What are the challenges facing the warehouse leasing market in Kolkata?
The main challenges include the availability of skilled labor and the need for continuous infrastructure upgrades. These issues are being addressed by developers and investors to ensure sustained growth.
What is the outlook for the warehouse leasing sector in Kolkata in the coming years?
The outlook is positive, with real estate experts predicting continued growth in warehouse leasing as more companies look to establish a presence in the eastern region and benefit from the city's strategic location.
Related News Articles
Government Revises LTCG Indexation on Real Estate: What You Need to Know
The government's recent amendment to the Finance Bill, 2024, has sparked confusion and concern around profit made on property sales and real estate transactions.
Shriram Properties AIF Platform to Close Rs 500 Crore Fund by FY25
Bengaluru-based listed real estate developer Shriram Properties Limited plans to close its alternative investment fund (AIF) fund with Blackstone-backed ASK Property Fund within FY25.
Elon Musk Eyeing Luxury Mansion Near Trump's Mar-a-Lago in Palm Beach
Elon Musk, the tech billionaire, is rumored to be considering the purchase of a luxurious mansion in Palm Beach, close to Donald Trump's famed Mar-a-Lago club. This potential acquisition would put him in the heart of one of the most exclusive and prestigi
Rajiv Bajaj's Rishabh Family Trust Acquires Property in Pune's Koregaon Park
Real estate consultant Square Yards announced that Rishabh Family Trust, associated with Rajiv Bajaj, has recently purchased a land parcel in Pune's upscale Koregaon Park. This strategic move signals the family's continued interest in premium real estate
2025: A Bright Year for the Indian Real Estate Market
The Indian real estate market is set to see continued growth in 2025, especially in the luxury segment. High-net-worth individuals and non-resident Indians are driving demand, while peripheral metro city markets show significant price appreciation.
Real Estate Stocks Plunge in Midday Trading
The BSE Realty index saw a significant dip, falling 174.72 points or 2.18% to 7,853.44 at 13:42 IST. Multiple key players in the real estate sector experienced losses.