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Reading: Manufacturing space leasing in India up 38% Y-o-Y to 9.0 million sq. ft in H1 2025: JLL – World News Network
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Latest World News Update > Blog > Business > Manufacturing space leasing in India up 38% Y-o-Y to 9.0 million sq. ft in H1 2025: JLL – World News Network
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Manufacturing space leasing in India up 38% Y-o-Y to 9.0 million sq. ft in H1 2025: JLL – World News Network

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Last updated: August 19, 2025 12:00 am
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Mumbai (Maharashtra) [India], August 19 (ANI): The Industrial and Logistics (I&L) real estate sector in India has demonstrated exceptional momentum during the first half (H1) of 2025, with manufacturing space leasing hitting record levels, according to a statement by JLL, a global real estate services company.
The company added that the manufacturing space leasing has reached an all-time high in H1 2025, recording an impressive 9.0 million sq. ft of transactions.
This represents a significant 38 per cent Year-on-Year (Y-o-Y) increase compared to H1 2024 (6.5 million sq. ft) and remarkably stands at six times the pre-pandemic levels of H1 2019 (1.6 million sq. ft).
The infrastructure continues its upward trajectory with Grade A warehousing facilities now constituting 55 per cent of the total 463 million sq. ft stock across India’s eight major cities.
The market recorded 25 million sq. ft of net absorption in H1 2025, with year-end projections expected to reach 55 – 57 million sq. ft – a substantial 12 to 15 per cent increase from 50 million sq. ft absorbed in 2024.
Grade A facilities are increasingly preferred by occupiers, with Grade A spaces accounting for 81 per cent of total absorption, reflecting the market’s shift toward higher-quality infrastructure with enhanced specifications.
“The geographic concentration is equally telling, with Bengaluru, Pune, NCR Delhi, Chennai, and Mumbai collectively accounting for 90 per cent of India’s net demand. This six-fold increase in manufacturing leasing reflects not just market growth but a strategic evolution toward asset-light models, as manufacturers increasingly opt Garde A and build-to-suit spaces to circumvent land acquisition challenges and achieve faster operational timelines,” said Yogesh Shevade, Head (Industrial & Logistics), India, JLL.
Bengaluru emerged as the frontrunner in net demand during H1 2025, followed by Pune, NCR Delhi, Chennai, and Mumbai. Together, these five strategic markets represented 90 per cent of India’s total net demand, underlining their critical importance within the country’s industrial and logistics landscape.
The 3PL/Logistics sector continues to dominate demand at 28 per cent, closely followed by Manufacturing at 24 per cent, which encompasses Automotive, Engineering, Electronics, and White Goods industries.
JLL stated that the manufacturing companies are increasingly adopting asset-light approaches, optimizing capital deployment while leveraging turnkey facilities with pre-secured regulatory approvals.
It also pointed out that the manufacturing leasing is concentrated in cities such as Pune and Chennai, which host a considerable proportion of India’s Grade A industrial stock. (ANI)


Disclaimer: This story is auto-generated from a syndicated feed of ANI; only the image & headline may have been reworked by News Services Division of World News Network Inc Ltd and Palghar News and Pune News and World News

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