New Delhi, Sep 25 (NationPress) Delhi-NCR has established itself as the premier hub for third-party logistics (3PL) in India, contributing to 25 percent of the total leasing activities within the industrial and logistics (I&L) sector since 2021, as reported on Thursday.

Following closely is Mumbai, which holds a 24 percent stake, alongside Bengaluru at 16 percent.

According to the report by CBRE, the leading six cities, which include Chennai, Kolkata, and Hyderabad, collectively account for nearly 70 percent of the total 3PL leasing activities from 2021 through the first half of this year (H1 2025).

3PL providers manage their clients' entire supply chain and logistics processes, enabling them to concentrate on their core operations.

These firms have emerged as the foremost demand generators within the country's logistics real estate sector.

The report indicates that they contributed to 40-50 percent of the total leasing activities in this sector between 2021 and 2024. In H1 2025, their market share surpassed 30 percent.

Anshuman Magazine, Chairman and CEO of CBRE for India, South-East Asia, the Middle East, and Africa, stated, "Delhi-NCR’s strategic location, strong infrastructure, and booming e-commerce sector have solidified its status as a key hub for the industrial and logistics sector."

“Nevertheless, Tier-II and III cities are also rising as new growth centers. The increasing consumption in these regions, coupled with lower land costs, is expected to motivate more 3PL firms to expand beyond metropolitan areas and establish localized hubs closer to consumption centers,” he added.

The report highlights a growing inclination towards maintaining an asset-light approach, with over 60 percent of surveyed Indian 3PL firms expressing a preference for space in multi-tenanted buildings over the next two years, instead of constructing their own facilities.

This is followed by build-to-suit development at 28 percent and the acquisition of existing assets at 22 percent.

There is a noticeable trend towards adopting future-ready warehousing solutions to facilitate rapid business growth and enhance competitiveness.

According to the report, approximately 76 percent of surveyed 3PL companies are now utilizing warehouse management software in their logistics procedures.

Additionally, 3PL entities are increasingly implementing technologies such as IoT sensors, conveyor and sortation systems, and Goods-to-Person picking systems, indicating a broader transition towards intelligent, automated warehouses.

From 2021 to H1 2025, 3PL firms were the main contributors to “big-box” leasing (over 100,000 sq. ft.) in India, both in terms of value and volume.

This reflects the escalating demand for scalable, future-ready warehousing solutions to accommodate the surge in requirements from e-commerce, retail, and manufacturing sectors.

Ram Chandnani, Managing Director of Leasing Services at CBRE India, stated, "This strategy enables companies to scale swiftly and minimize costs. 3PL players are eager to grow quickly to meet the demand driven by the expansion of e-commerce and quick commerce, along with the government's infrastructure initiatives."