Tier‑1 and Tier‑2 Strategies Drive Record Manufacturing Space Leasing

Yogesh Shevde, Managing Director of JLL India’s Industrial & Logistics division, explained that two complementary strategies are fueling the boom.

In Tier‑1 metros, manufacturers are chasing rapid market access and lower capital outlay, opting for premium grade‑A leased facilities. Conversely, firms in Tier‑2 cities are prioritising land acquisition to gain greater flexibility and long‑term operational control.

Both approaches point to a robust expansion of manufacturing footprints, with about 90 percent of the 2025 leasing volume already concentrated in grade‑A assets that boast superior building quality, safety standards, and modern infrastructure.