New Launch - India Real Estate Report 2026.

What is a Grade A warehouse?

A Grade A warehouse is a premium, institutional-quality industrial facility that meets the highest standards of construction, specification, and operational efficiency. It is designed to modern logistics standards enabling efficient, safe, and technology-ready warehousing operations for the most demanding occupiers.

Grade A Warehouse Specifications

  • Clear height: Minimum 10 metres (typically 12–15 metres).
  • Floor loading: Minimum 5 tonnes per sq mt.
  • Dock-to-door ratio: 1 dock per 1,000–1,500 sq ft.
  • Column-free or minimal-column design.
  • ESFR (Early Suppression Fast Response) fire sprinkler system.
  • Power supply: 1.5–3 VA per sq ft with 100% DG backup.
  • IT and networking infrastructure (BMS, CCTV, access control).
  • Green certification (IGBC, LEED) increasingly standard.

Grade A vs. Grade B Warehouse

  • Grade A: Institutional, modern, MNC-grade 7–9% yield.
  • Grade B: Older or lower specification lower rent, higher yield (10–13%), but risk of obsolescence.

Grade A warehouses have become the investment standard for institutional real estate capital in India's logistics sector. With e-commerce, pharma, and manufacturing driving occupier demand for modern, efficient spaces, the Grade A warehouse segment offers one of the most fundamental and structurally supported income streams in Indian commercial real estate.

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