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India’s Industrial & Warehousing Real Estate Poised for a Major Boom

• By newsworldsin
• December 26, 2025

Yes, indeed India’s industrial and warehousing real estate market is set to see a huge boom in this period and shows huge growth in demand and supply, thanks to Government Initiatives in Make in India, PLI, Gati Shakti, E-commerce, 3PL, and modern Grade-A spaces. Demand is estimated to reach 30 to 40 million square feet every year, and major absorption is expected in Tier 1 cities and interest is being generated in Tier 2/3 cities.

Determinants of Boom Phase:

1. Government Initiatives: Make in India, Production Linked Incentive Scheme (PLI), and Gati Shakti are some policies that support local manufacturing and infrastructure development, thereby fueling demand for warehouses.
2. E-commerce Growth: The rise of e-commerce in retailing and quick commerce creates demand for efficient means of distributing products.
3. 3PL & Manufacturing Demand: Third-Party Logistics service providers and manufacturing industries are prominent users.
4. Grade A Spaces Shift: Increasing demand for compliant and automated Grade A warehouse spaces with stronger ESG credentials.
5. Infrastructure Focus: Government spending on infrastructure such as connectivity and logistical hubs will cut costs and make it more attractive for companies to set up manufacturing facilities within the country.

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