Warehousing Sector

Blackstone was among ten bidders for the portfolio of warehouses that covered nearly 5 million square feet

Logistics platform Horizon Industrial Parks, owned and managed by Blackstone Real Estate funds, will invest Rs 700 crore to redevelop warehouses of state-owned CWC in 13 locations. In a statement on Monday, the company said it has been "chosen as the lead partner by the Central Warehousing Corporation (CWC) to manage a portfolio of 13 last-mile logistics assets". The CWC is a public warehouse operator established by the central government under the Ministry of Consumer Affairs, Food & Public Distribution. During the 45 years of partnership, Horizon Industrial Parks will redevelop the government-owned assets into modern Grade-A facilities, tailored to tenants in fast-growing sectors like e-commerce, retail, third-party logistics, and cold chain. "With a development potential of 2.4 million square feet, this is one of the largest last-mile logistics portfolios in India. The investment commitment is expected to be around Rs 700 crore to support the growth of the portfolio," it ...

Allcargo Group's logistics arm Allcargo Supply Chain Private Limited (ASPL) on Monday said it aims to add a 3 million square feet of warehousing space in the next two-three years as part of its expansion plan. Currently operating with 6 million sq ft of space, the company said in the initial phase of expansion, it plans to begin from the north and south regions. ASPL has warehouses spread across more than 80 locations in India. The company said its nationwide expansion plan includes the establishment of standardized warehouses equipped with cutting-edge facilities. These warehouses will cater to all sectors, with ASPL's client distribution comprising 25 per cent from the chemical sector, 30 per cent from e-commerce, 25 per cent from auto engineering, and 15 per cent from other verticals, it said. "Our expansion plan is not just about increasing square footage; it's about strengthening our capabilities to better serve our clients. "With modern infrastructure and advanced Warehouse

Leasing of warehousing spaces in three major southern cities -- Bengaluru, Hyderabad, and Chennai -- fell 5 per cent to 10.2 million square feet during the last year on subdued demand, according to Vestian. During the 2022 calendar year, the total leasing of warehousing space in these three cities stood at 10.7 million square feet. Third-party logistics firms, engineering & manufacturing companies, and e-commerce players take warehousing spaces on lease and are major demand drivers. Real estate consultant Vestian data showed that the share of these three southern cities fell to 27 per cent in 2023 from 34 per cent in the previous year. Across seven major cities, the leasing of warehousing and logistics spaces grew 21 per cent to 37.8 million square feet in 2023 from 31.2 million square feet in the previous year. Among cities, the demand in Bengaluru fell to 3.6 million square feet from 4.1 million square feet. Hyderabad too witnessed a fall at 3.1 million square feet as against .

Sumadhura Logistics Park marks the company's entry into the ever-expanding logistics sector, catering to the growing demand for top-notch warehousing solutions in Bengaluru and surrounding areas

The share of domestic investors accounted for 71% of total institutional investments received in the July-September quarter: Vestian

Chennai led the leasing activity in Q3, accounting for 30% share among India's top five cities

Monthly average rental of quality warehousing space in Delhi-NCR rose 19.9 per cent in the first six months of this year, according to a report by realtors body Credai and data analytics firm CRE Matrix. In their joint report released on Thursday, Credai and CRE Matrix highlighted that the Grade-A warehousing stock crossed 163 million square feet in the first half of 2023, owing to rapid industrial growth. During January-June period, the demand for Grade A warehousing space stood at 13 million square feet, whereas supply stood at 9.4 million square feet across six major cities. The vacancy level stood at a mere 8.8 per cent at the end of H1 2023, from the previous 10.5 per cent in the year-ago period. These six cities are -- Delhi- NCR, Mumbai Metropolitan Region (MMR), Pune, Bengaluru, Chennai and Hyderabad. Rental costs too have witnessed a 10 per cent surge across India wherein Delhi-NCR (almost 20 per cent) and Chennai (20.8 per cent) had the highest increments in rental rates

The industrial and warehouse logistics park supply is likely to grow 13-15 per cent in this fiscal in the eight primary markets to around 435 million square feet, with nearly 52 per cent to come up in grade A capacity, according to a report. However, the incremental absorption is likely to remain flat at the FY23 levels of around 39 million sq ft, Icra Ratings said in the report. The warehousing sector continues to witness a sustained demand from the third-party logistics (3PL) and automobile sectors, which together accounted for 53 per cent of the total leased warehousing area as of March 2023. Additionally, the rapid expansion of new sectors like e-commerce and allied services, the growing needs of the consumption market and the government's focus on manufacturing will boost demand. The agency expects the grade A warehouse stock across the top eight primary markets to grow by 17 per cent to 195 million sq ft by March 2024 from 167 million sq ft in March 2023. For the incremental

This comes when total leasing of warehousing space in India increased from 51.3 million square feet in 2022-23, compared to 51.2 mn sq ft in 2021-22

Partnership will give farmers information about negotiable instrument meant to assist rural economy

Industrial and warehousing space leasing rose 6 per cent to 46.3 million square feet last year across major cities of India, according to Savills India. In its latest report, property consultant Savills India said that the leasing of industrial and warehousing space rose 3 per cent in 2022 across eight major tier-I cities to 36.2 million square feet from 35.1 million square feet. The absorption of space in tier II-III cities increased to 10.1 million square feet in 2022 from 8.6 million square feet in the previous year. The Tier II and III cities include Coimbatore, Guwahati, Indore, Nagpur, Lucknow, Jaipur, Rajpura, Bhubaneswar, Kochi/Ernakulam, Patna, Hosur, Madurai, Varanasi, Hubli and Ludhiana. Among the major cities in India, Delhi-NCR saw the highest absorption in 2022 at 16 per cent, followed by Mumbai at 14 per cent. Pune and Bengaluru saw absorptions at 13 per cent and 12 per cent, respectively, while tier II and III cities accounted for 22 per cent. Third-party logistic

According to the report, the investment volume in warehousing stood at $1.9 bn in 2022, from $1.3 bn in 2021, up 45% YoY

Real estate firm will invest Rs 2,400 cr in mix-use project of housing, retail and service apartments

Top-3 sectors, namely, 3PL, e-commerce, and manufacturing & automotive, account for a 78 per cent share of warehouse leasing space across seven cities

Net absorption could reach an all-time high of 43 million sq ft by 2022-end as businesses open up and consumer demand improves

Delhi-NCR and Pune together accounted for about 70 per cent of the leasing and 60 per cent of total supply

Company will consider other opportunities for rehabilitation of business ops

Warehousing rents in Mumbai, Bengaluru and Delhi-NCR rose by an average 7.2 per cent during the last fiscal on higher demand from third party logistics, e-commerce and manufacturing sectors, as per a report. In its Asia-Pacific Logistics Highlights H1 2022 report, Knight Frank said Mumbai saw an annual growth of 9.3 per cent in prime warehousing rents to Rs 265 per square feet per year in the last fiscal, from Rs 243 per square feet in the previous year. Warehousing rent in Bengaluru rose 6.4 per cent to Rs 240 per sq ft per year, while that in Delhi-NCR increased by 5.9 per cent to Rs 227.40. On a 12-month outlook basis, the consultant said the prime logistic rents across Mumbai, Bengaluru and Delhi-NCR are expected to increase on the back of sustained demand from third party logistics, e-commerce and manufacturing sectors. Shishir Baijal, chairman and managing director, Knight Frank India, said, "Rents for warehouses in India witnessed a substantial growth signifying resiliency .

In the amendment bill, the government has also proposed simplified registration process, accepting negotiable receipts only in electronic form