1. Rising Demand Near Logistics and Infrastructure Corridors
Industrial land sales are increasingly concentrated around national logistics hubs, expressways, and dedicated freight corridors. Key preferences include:
- Proximity to NH-48, NH-44, and Eastern and Western Dedicated Freight Corridors (DFCs)
- Access to multi-modal logistics parks, inland container depots, and ports
- Emerging zones near Delhi–Mumbai Industrial Corridor (DMIC) and Chennai–Bengaluru Industrial Corridor (CBIC)
Buyers prioritize connectivity that supports fast supply chains and lower freight costs.
2. Shift Toward Cluster-Based and Plug-and-Play Industrial Parks
There is a growing preference for cluster-based development models and ready-to-move industrial parks that offer:
- Pre-approved plots with zoning and environmental clearances
- Shared infrastructure such as power, water, drainage, and internal roads
- Common amenities including canteens, firefighting, and waste treatment facilities
This trend is driven by industries seeking to minimize setup time and focus on operations rather than infrastructure development.
3. High Absorption in Tier 2 and Tier 3 Cities
Industrial land activity is expanding beyond metro areas into Tier 2 and Tier 3 cities due to:
- Lower land costs and operating expenses
- Government focus on decentralization through state industrial policies
- Availability of skilled labor and raw material access in regional belts
Cities like Indore, Coimbatore, Surat, Nagpur, Lucknow, and Visakhapatnam are witnessing robust growth in industrial land transactions.
4. Growth of Sectors Like Warehousing, EV, and Pharma
Specific industries are driving localized surges in land demand:
- Warehousing and e-commerce: Favoring large plots near cities and highways
- Electric Vehicle (EV) manufacturing: Attracting investments in industrial clusters like Sanand (Gujarat), Talegaon (Maharashtra), and Hosur (Tamil Nadu)
- Pharmaceutical and biotech parks: Boosting sales in Telangana, Andhra Pradesh, and Himachal Pradesh
Each sector influences plot size, zoning requirements, and location preferences.
5. Investor Interest in Industrial Real Estate as an Asset Class
Institutional investors and real estate funds are increasingly exploring industrial land and logistics assets due to:
- Stable yields and rental returns
- Long-term demand from manufacturing, storage, and distribution sectors
- Diversification from commercial and residential portfolios
This shift is contributing to land banking, speculative buying, and structured leasing models in key industrial zones.
6. Government Push Through Incentive Schemes and Reforms
Industrial land sales are being supported by policies and reforms such as:
- Production Linked Incentive (PLI) schemes
- Ease of Doing Business initiatives
- Development of Industrial Parks, SEZs, and Mega Textile Parks
States like Uttar Pradesh, Gujarat, Tamil Nadu, and Karnataka are offering incentives such as stamp duty rebates, capital subsidies, and infrastructure support, fueling land uptake.
7. Digitalization of Land Records and E-Auctions
Governments and industrial bodies are leveraging technology to streamline sales through:
- Online land allotment systems (e.g., Dharani, KIADB portal, MIDC e-Auctions)
- Digital land title verification and GIS-based site selection tools
- E-bidding and allotment transparency
These platforms increase accessibility and reduce delays in land transactions, encouraging wider participation from SMEs and corporates.
