India Industrial & Logistics Market Snapshot H1 2026
India’s industrial and logistics sector recorded healthy leasing activity in H1 2026, driven by 3PL, engineering and manufacturing, and e-commerce occupiers.
India Industrial & Logistics Market in H1 2026
India’s industrial and logistics sector recorded healthy leasing activity during January-June (H1) 2026. Demand was led by third-party logistics (3PL), engineering & manufacturing (E&M), and e-commerce occupiers, while activity remained concentrated across key industrial and logistics markets.
Leading Industrial & Logistics Markets
Delhi-NCR, Chennai, and Bengaluru accounted for approximately 60% of total leasing during H1 2026, reaffirming their position as leading industrial and logistics centres in India.
Key Demand Drivers
Third-party logistics and engineering & manufacturing companies remained the strongest sources of demand during the period.
- 3PL: Accounted for 31% of industrial and logistics absorption in H1 2026.
- Engineering & Manufacturing: Accounted for 26% of absorption.
- E-commerce: Continued to contribute to leasing demand across major markets.
Institutional Investment in Warehousing
Institutional participation continued across new warehousing supply. Around 33% of new warehousing supply during H1 2026 was institutionally backed, reflecting continued investor interest in high-quality logistics assets.
Market Outlook
The H1 2026 market snapshot indicates continued demand for industrial and logistics real estate in India's major consumption and manufacturing hubs. Strong activity from 3PL and E&M occupiers, combined with institutional participation in warehousing development, points to sustained interest in the sector.
For detailed insights into India's industrial and logistics real estate market, CBRE provides additional market data and analysis through its downloadable report.