Knight Frank India, an international property consultancy, in its latest report - ‘India Warehousing Market Report – 2023’ - cited that 0.63 mn sq ft of new warehouse space was leased in Nagpur in FY23. This is a 26% YoY growth from 0.5 mn sq ft in FY22. Retail players constituted 48% of the area transacted during the year followed by third party logistic companies (3PL). In Nagpur, despite higher rentals, MIHAN and MIDC attracted maximum demand in FY22, with Grade A spaces ranging from Rs 194-237 sqm/ month, whereas Grade A spaces in Nimji-Kamleshwar belt ranging from Rs 194-215 sqm/ month and Grade A spaces in Ring Road belt ranging from Rs 129-183 sqm/ month. The massive infrastructure push underway to enhance connectivity from Nagpur to large consumption clusters such as Mumbai, Pune, Aurangabad and Nashik within the State and its central location in India’s vast landmass will continue to drive the city’s warehousing and logistics market, the report said.

 

Virendra Thakkar, CMD of Logistics Park said, “Nagpur is gradually moving towards becoming an important logistic and warehousing hub in the country on account of massive infrastructure development, better connectivity via highways, expressways and low warehousing rentals as compared to large metro cities like Mumbai. We will see a huge change within the next three to four years. It is just a matter of time.” Thakkar’s Logistics Park is one of the largest warehouses covering over 2.35 million square feet of warehousing space in Nagpur. He further said that all the major companies in the country want their logistic central hub’s to be located in Nagpur. Commenting on the report, Shivkumar Rao, Director of R&Y Logistics Pvt Ltd said, “With thrust on infrastructure, highways, better connectivity to other parts of the country, Nagpur is certainly transforming and evolving as a good location for logistics and warehousing.”