On a quarter-on-quarter (QoQ) basis, leasing rose by 17 per cent, reflecting growing momentum in warehousing demand across key cities. Overall absorption for the first half (H1) of 2025 stood at 27.1 million square feet, against a supply of 16.7 million square feet, of which 7.8 million square feet came online in Q2 alone.
3PL players accounted for 33 per cent of leasing in Q2 (up from 31 per cent in Q1), while the share of e-commerce firms stood at 24 per cent. Other major contributors included the engineering and manufacturing sector at 17 per cent.
Delhi-NCR, Bengaluru, and Hyderabad collectively contributed 63 per cent of all leasing activity in H1 2025. In terms of new supply, Bengaluru, Chennai, and Mumbai made up 55 per cent of the total.
In Q2 2025, the top cities for industrial and logistics space absorption included Delhi-NCR with 3.6 million square feet, followed by Kolkata at 3.3 million square feet, Mumbai at 2.5 million square feet, Chennai at 2.3 million square feet, Bengaluru at 2.2 million square feet, Hyderabad at 2.1 million square feet, Pune at 0.7 million square feet, and Ahmedabad at 0.5 million square feet.
The share of domestic corporates declined from 74 per cent in Q1 to 57 per cent in Q2. In contrast, Europe, Middle East, and Africa (EMEA) corporates increased their share from 6 per cent to 13 per cent, while American and APAC corporates contributed 12 per cent and 10 per cent respectively.
ALCHEMPro News Desk (SG)
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