India’s Grade A warehousing supply rose 6% to 28.8m sq ft in Jan-Sep, resurfacing October report shows
Resurfacing a report from mid-October 2025: Grade A industrial and warehousing supply across eight cities reached 28.8 million sq ft in January-September 2025, led by Delhi-NCR, Chennai and Mumbai. E-commerce and 3PL demand remained key drivers, according to Colliers India.
What happened
Colliers India · Grade A industrial and warehousing supply across eight Indian cities rose 6% in January-September 2025. Delhi-NCR, Chennai and Mumbai
Key facts
- Grade A industrial and warehousing supply rose 6% to 28.8 million sq ft in January-September 2025, from 27.1 million sq ft a year earlier
- Delhi-NCR supply rose 18% to 9 million sq ft
- Chennai supply rose 24% to 5.6 million sq ft
- Mumbai supply rose 52% to 4.4 million sq ft
- Pune supply fell 39% to 2.2 million sq ft
- Ahmedabad supply fell 17% to 1.5 million sq ft
- Bengaluru supply fell 20% to 2.4 million sq ft
- Kolkata supply fell 5% to 2 million sq ft
Why this matters
Retailers, logistics providers and property platforms should evaluate warehouse partnerships or acquisitions in leading metros as growing institutional-grade supply improves options for scalable omni-channel networks.
What to watch
- Grade A absorption relative to new completions in the eight major cities.
- Warehouse rental growth, vacancy rates and landlord concession levels by micro-market.
- E-commerce and quick-commerce order growth, especially outside top metros.
- 3PL leasing volumes and the share of pre-committed versus speculative developments.
- Road, rail, port and urban-access infrastructure improvements affecting warehouse catchment economics.
- Policy or financing changes affecting logistics parks, land costs, power availability or industrial development approvals.
- Expand network modeling for Delhi-NCR, Chennai and Mumbai to identify where additional Grade A nodes can reduce line-haul and last-mile costs.
- Secure flexible warehouse options, including short-term overflow and shared-user 3PL capacity, ahead of festive and promotional demand peaks.
- Prioritize facilities with automation-compatible specifications, strong power reliability, high dock density and proximity to urban consumption corridors.
- Reassess lease strategy by micro-market rather than city-level supply totals; negotiate rent-free periods, fit-out contributions and expansion rights in less constrained submarkets.