Real estate consultant Colliers India’s latest report highlighted that India’s industrial and warehousing market has “emerged as one of the best-performing real estate asset classes”.
The Grade A stock touched 299.2 million square feet at the end of first quarter of 2026, almost twice the inventory levels of 2021. The data pertains to eight cities — Ahmedabad, Bengaluru, Chennai, Delhi NCR, Hyderabad, Kolkata, Mumbai and Pune.
Bhiwandi in Mumbai continues to be India’s largest industrial & warehousing cluster with about 42 million square feet of Grade A stock, followed by Farukh Nagar and NH-48 in Delhi-NCR with 31.5 million sq ft and 26.6 million sq ft area.
Colliers said that there are 40 industrial and warehousing clusters across these 8 cities and out of that 13 are high-activity clusters which have high demand-supply.
“Rental growth has been pronounced across most high-activity clusters, with around 15-35 per cent increase in average rentals over the last five years. Prominent clusters in Delhi-NCR, such as Farukh Nagar and NH 48, have seen close to 30 per cent growth in average rentals over the last five years, supported by occupier expansion across key demand segments,” the consultant said.
Farukh Nagar and NH-48 command rental of Rs 21-28 per sq ft per month for industrial and warehousing spaces. Farukh Nagar includes Kulana, Farukhnagar, Badli, Jhajjar, Bhaproda and Luhari, while NH 48 (Delhi NCR) includes Gurugram -Binola, Pataudi Road, Jamalpur- Panchgaon Road, Bilaspur-Tauru Road and Dharuhera.In the coming years, Colliers projected that rentals are expected to firm up by 5-10 per cent on an annual basis across most high-activity clusters, driven by growing preference for institutional-grade assets and ongoing infrastructure developments.
“India’s industrial & warehousing market is entering an accelerated growth phase with high-activity clusters anchoring market momentum, on the back of policy support, enhancements in multi-modal connectivity, proximity to consumption centres, and expanding manufacturing & logistics landscape,” said Vijay Ganesh, Managing Director, Industrial & Logistics Services, Colliers India.
The 13 high-activity clusters account for nearly three-fourths of the Grade A space uptake and new supply in India, cumulatively witnessing close to 130 million sq ft of demand and supply each during the last five years, he added.