The report said, the southern metro remained a preferred city for Industrial and Logistics space. The northern micro markets accounted for about 25% of the leasing activity, which was largely driven by 3PL and FMCG occupiers during H2, 2017. 

The Western Industrial Belt in Chennai continued to dominate leasing activity, followed by the northern and southern micro markets. Close to 1.0 million sq. ft. of new supply entered the market in the form of several medium-tolarge-size developments. 

Across India, leasing activity in the logistics and warehousing segment across India registered a half yearly growth of 50% during the H2, 2017 period, to touch 10 million sq.ft., signaling that the short-term disruptions caused by the GST have abated. Demand for logistics and warehousing space was largely concentrated in Bangalore (39%), Delhi-NCR (20%) and Chennai (13%).