Pune Surges as Top Industrial Real Estate Market, Outperforming Delhi-NCR and Mumbai
Pune's industrial real estate market has seen a significant surge, with annual net absorption nearly tripling from 4.2 million sq. ft. in 2019 to 11.3 million sq. ft. by the end of 2024, according to a report by JLL India.
PuneReal EstateIndustrial MarketJll IndiaGrowthReal Estate PuneJul 01, 2025
During the same period, Pune’s total industrial stock expanded from 24.2 million sq. ft. to 60.9 million sq. ft., maintaining a strong growth trend. According to the report, Pune has emerged as the nation's leading industrial real estate market for the second consecutive year, outperforming larger markets like Delhi-NCR and Mumbai.
JLL’s latest Logistics & Industrial report underscores a notable shift in the quality of industrial spaces. Grade-A facilities now constitute 75% of Pune’s total industrial stock, signaling a trend towards premium infrastructure. Grade-A net absorption alone rose from 3.2 million sq. ft. in 2019 to 9.9 million sq. ft. in 2024. This move towards high-quality, specification-driven spaces has attracted global occupiers and institutional investors, who are actively developing prime assets and setting new benchmarks for industrial infrastructure in the region.
Sanjay Bajaj, Senior Managing Director - Pune and Logistics & Industrial, India JLL, commented, “Pune's industrial real estate market is not just growing; it's evolving. The shift towards Grade A facilities, coupled with sector diversification and increased foreign investment, positions Pune as a prime destination for future development. We are not just seeing expansion; we are witnessing a transformation that will redefine Pune's role in India's industrial landscape.”
Pune's industrial story is also one of diversification. While the automotive and engineering sectors remain the foundation, accounting for approximately 65% of all transactions in 2024, demand from FMCG, home and construction, and pharmaceutical sectors is strengthening, adding depth and resilience to the city's industrial ecosystem.
Looking ahead, Pune's trajectory remains strongly positive. Total industrial stock is projected to more than double by 2030, exceeding 140 million sq. ft. Annual supply and demand are expected to consistently remain above 10 million sq. ft., while overall vacancy rates are forecasted to drop below 5% in the coming years.
Frequently Asked Questions
What is the current annual net absorption in Pune's industrial real estate market?
Pune's industrial real estate market has seen annual net absorption increase from 4.2 million sq. ft. in 2019 to 11.3 million sq. ft. by the end of 2024.
How has the total industrial stock in Pune changed?
Pune’s total industrial stock has expanded from 24.2 million sq. ft. in 2019 to 60.9 million sq. ft. by the end of 2024.
What percentage of Pune's industrial stock is now Grade-A facilities?
Grade-A facilities now make up 75% of Pune’s total industrial stock.
Which sectors are driving the demand in Pune's industrial real estate market?
While the automotive and engineering sectors remain the foundation, demand from FMCG, home and construction, and pharmaceutical sectors is also strengthening.
What is the projected growth of Pune's industrial real estate market by 2030?
Total industrial stock in Pune is projected to more than double by 2030, exceeding 140 million sq. ft., with annual supply and demand expected to consistently remain above 10 million sq. ft.
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