The warehousing sector is likely to see increased investments in Q3 of 2021 as investors sought after the sector in anticipation of the ongoing festive season and the continued demand from e-commerce companies, says new report by real estate firm Colliers.
The beginning of Q3 2021 witnessed both foreign and domestic investors making large investment.
During Jan-September 2021, industrial and warehousing assets attracted solid investments of about USD900 million from investors. Land acquisitions of about 35-50 acres occurred primarily on the outskirts of Tier 2 cities, such as Pune, Indore, Kochi, Hyderabad and Kolkata.
Furthermore, the report reveals that the 3rd quarter of 2021 saw asset classes such as data Centers and life sciences gaining traction. During Jan-September 2021, data centers saw investments of about USD235 million, with corporates tying up with global data center providers. Demand for data centers in India is growing.
Colliers expects total colocation data centre stock to reach 20 million square feet by 2023, led by local and global data centre developers, from 9.5 million square feet at present.
An investment from Ivanhoé Cambridge and Lighthouse Canton of worth USD100 million was observed in the Life Sciences R&D facilities in Hyderabad, a first of its kind investments by a foreign investor in life Sciences.