Warehousing stock in country up 24% over past 4 years: CRE MATRIX

Demand for logistics services has exceeded supply in 12 out of the past 18 quarters, indicating robust market dynamics for the segment

The warehousing stock in the country saw a compound annual growth rate (CAGR) of 24 per cent during the last four years, reaching 94.8 million sq ft this year.

Demand has exceeded supply in 12 out of 18 quarters, indicating robust market dynamics for the segment, according to data by CRE MATRIX. The country has 59 clusters with an average area of 1.5 million sq ft. 

Top 10 occupiers, including Amazon, Flipkart, Future Supply Chains, Delhivery, Mahindra Logistics and others, made up 35 per cent of occupancy. Region-wise, Chennai saw the highest rental growth of 5.8 per cent on a CAGR basis since 2015 and sector-wise, manufacturing saw the highest growth of 6.2 per cent.

The e-commerce segment, which is major contributor to warehousing, is set to grow from $38 billion in 2017 to $200 billion by 2026, Anarock Capital said.