- Demand for godowns reduced in Hyderabad.
- Same situation even in Bengaluru.
- Reveals a study by Vestian.
The demand for godowns in Hyderabad has decreased marginally. Real estate consultant Vestian revealed in its report that godown leasing activities have decreased in both Bengaluru and Hyderabad. It said that the demand for godowns (warehouses), especially in the south, has decreased. In Hyderabad, Bengaluru, and Chennai, a total of 10.2 million square feet of leasing has been recorded in 2023. The leasing volume in 2022 will be 10.7 million square feet. Third-party logistics companies, engineering and manufacturing companies, and e-commerce companies accounted for a significant share of warehouse leasing demand last year. The three southern cities accounted for 34 percent of warehouse leasing in 2022 and went down by 27 percent in 2023. Leasing of warehousing and logistics facilities in seven leading cities across the country increased by 21 percent to 37.8 million square feet.
In 2022, it was 31.2 million square feet. Looking city-wise, the leasing of warehouses in Hyderabad last year was recorded at 3.1 million square feet. In 2022, it was 3.7 million square feet. Leasing activity in Bengaluru was 4.1 million square feet in 2022, which decreased to 3.6 million square feet in 2023. Leasing of 2.9 million square feet in 2022 in Chennai increased to 3.7 million square feet in 2023. Leasing activity in Mumbai has increased tremendously. The leasing of 6 million square feet of warehouses was done here in 2022. Last year, it reached 10.2 million square feet. Leasing of 7.3 million square feet in the Delhi NCR region in 2022 increased to 8.8 million in 2023. Vestian reports that warehouse leasing in Pune has increased from 5.2 million to 7 million square feet. Warehouse leasing in Kolkata has declined from 2.1 million square feet in 2022 to 1.6 million square feet in 2023.
