Demand for warehousing space continued to remain strong during the year 2016 with over 10 million sq ft space leased across leading cities of India. The engineering, manufacturing and e-Commerce companies leased 22% of the total space transacted during the year, while third-party logistics companies share stood at 21% and FMCG players at 17%, showed a CBRE report.
In anticipation of the Goods and Services Tax (GST), few firms have deferred their investment decisions and that was also reflected in the year-on-year sectorial space take-up.
For instance, the share of third-party logistics companies declined from 31% in 2015 to only 21% in 2016. On the other hand, the space take-up by electronics retailers increased by 29% on-year during 2016 led by rising consumerism.
Read more: ETRealty
