The build-and-lease model within industrial parks is rapidly gaining momentum in India, especially among long-term tenants seeking scalable, infrastructure-ready solutions without the burden of land ownership or development risks. As manufacturers, logistics companies, and global supply chain players expand their operations across India’s emerging industrial corridors, they are increasingly opting for plug-and-play facilities within organized parks that offer customized construction, operational flexibility, and compliance-ready environments.
Prominent industrial zones like Sanand (Gujarat), Oragadam (Tamil Nadu), Chakan (Maharashtra), and Sri City (Andhra Pradesh) have become hubs for this model, attracting multinational tenants in automotive, electronics, food processing, e-commerce, and pharmaceuticals. These parks offer purpose-built infrastructure with features such as wide internal roads, high-load-bearing floors, ready utilities, and multimodal connectivity, allowing tenants to focus on operations while locking into long-term leases with predictable costs. The arrangement benefits both sides: tenants enjoy faster go-to-market timelines and scalability, while developers secure steady rental yields and long-term asset value appreciation.
Institutional investors and logistics REITs are also increasingly backing these build-and-lease parks, forming platform deals and joint ventures to develop large-scale, sector-specific industrial assets. This model aligns well with ESG goals, offering sustainable construction options and centralized waste, power, and water management systems. As India’s industrial growth becomes more formalized and demand intensifies for high-quality operational space, build-and-lease industrial parks are emerging as a cornerstone of strategic land utilization and long-term tenancy in the country’s industrial real estate market.
