India Industrial and Logistics Figures H1 2025

India’s industrial and logistics (I&L) market witnessed a new record—27.1 million sq. ft. of space leased during January to June (H1 2025), the strongest half-year absorption to date. This surge was primarily driven by the aggressive warehousing expansion of e-commerce and quick-commerce operators, along with sustained leasing growth by third-party logistics (3PL) and engineering and manufacturing (E&M) companies.

Listed below are a few broad trends observed during H1 2025:

• Delhi-NCR, Bengaluru, and Hyderabad accounted for more than half of the overall leasing activity.

• 3PL players continued to dominate India’s I&L space take-up with a ~32% share, followed by e-commerce (~25%) and E&M companies (~19%).

• Supply addition witnessed a slight moderation on an annualised basis, still reaching 16.7 million sq. ft.

• Bengaluru, Chennai, and Mumbai led the development completions, cumulatively accounting for about 57% of the total supply addition.

To delve deeper into our India-level I&L real estate market analysis and gain insights into city-specific dynamics, please click the download button.