📷 Image: Wikimedia Commons / TheTruthSeeker9822
Business
Warehousing Absorption Jumps 16% in FY2026, NCR Rents Spike 44% Since 2023
✍️ The Realty Today
🗓 04 Nov 2026, 07:16 PM
👁 10
India’s warehousing sector recorded a 16% rise in absorption during the first nine months of 2026, while rental rates in the National Capital Region have surged 44% compared with 2023 levels.
The logistics real‑estate market in India showed robust growth in the first three quarters of fiscal 2026, with total warehousing absorption increasing by 16% year‑on‑year, according to data released by The Realty Today. The uptick reflects heightened demand from e‑commerce players, manufacturers and cold‑storage operators seeking additional space to support expanding supply chains.
In parallel, rental rates for warehousing space in the National Capital Region (NCR) have risen sharply, posting a 44% increase since the start of 2023. Analysts attribute the surge to limited availability of prime land, intensified competition among tenants, and the region’s strategic importance as a distribution hub for northern India.
Industry observers note that the combined effect of higher absorption and rent escalation underscores a tightening market, prompting developers to accelerate new projects and investors to reassess valuation models. The trend is expected to continue as online retail volumes grow and manufacturers shift towards more localized inventory strategies.
In parallel, rental rates for warehousing space in the National Capital Region (NCR) have risen sharply, posting a 44% increase since the start of 2023. Analysts attribute the surge to limited availability of prime land, intensified competition among tenants, and the region’s strategic importance as a distribution hub for northern India.
Industry observers note that the combined effect of higher absorption and rent escalation underscores a tightening market, prompting developers to accelerate new projects and investors to reassess valuation models. The trend is expected to continue as online retail volumes grow and manufacturers shift towards more localized inventory strategies.