Pune’s Industrial Real Estate Market Sees 2.5x Surge, Leads India for 2nd Consecutive Year
Pune’s industrial real estate sector is witnessing unprecedented growth, with annual net absorption nearly tripling from 4.2 million sq. ft. in 2019 to 11.3 million sq. ft. in 2024, representing a 2.5x increase and a compound annual growth rate (CAGR) exceeding 20%, according to a report released by JLL India.
During this same period, total industrial stock in the city rose from 24.2 million sq. ft. to 60.9 million sq. ft., confirming Pune’s consistent expansion as an industrial powerhouse.
📈 India’s Leading Industrial Market
Pune has emerged as India’s top-performing industrial real estate market for the second year running, outpacing larger hubs like Delhi-NCR and Mumbai. According to JLL’s Logistics & Industrial report, the city’s growth isn’t just quantitative — it is also qualitative.
“Pune’s industrial real estate market is not just growing, it’s evolving,” said Sanjay Bajaj, Senior Managing Director – Pune and Logistics & Industrial, India JLL.
🏢 Grade-A Facilities Now Dominate
- Grade-A facilities now comprise 75% of Pune’s total industrial stock.
- Grade-A net absorption grew from 3.2 million sq. ft. in 2019 to 9.9 million sq. ft. in 2024.
This shift to high-specification industrial infrastructure has drawn global occupiers and institutional investors, setting new industry standards in the region.
“We are not just seeing expansion; we are witnessing a transformation that will redefine Pune’s role in India’s industrial landscape,” Bajaj added.
🔧 Sector Diversification Adds Strength
While automotive and engineering remain dominant — contributing to 65% of all 2024 transactions — the report highlights emerging demand from FMCG, pharmaceuticals, and construction sectors, strengthening Pune’s industrial resilience.
🔮 Outlook: 2030 and Beyond
Looking ahead, the report forecasts:
- Industrial stock to exceed 140 million sq. ft. by 2030
- Annual supply and demand to stay above 10 million sq. ft.
- Vacancy rates expected to fall below 5%, indicating tight supply and sustained demand
Pune’s industrial real estate sector stands at the forefront of India’s manufacturing and logistics transformation — and is set to define the next decade of growth.