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Amazon finalised a built-to-suit lease agreement for a 600,000 sq ft warehousing facility at Kolkata's Oswal Logistics Park, signalling its continued push into India's supply chain network. The structure will feature a 400,000 sq ft plinth area and a 200,000 sq ft mezzanine space, with a handover anticipated between 2027 and 2028. Positioned among the premium rental deals in the city, the facility is set to incorporate advanced automation and fulfilment systems. This move reinforces Amazon's long-term ambition to bolster last-mile delivery across Tier-1 and Tier-2 urban centres.
Amazon secured a built-to-suit lease for a vast 600,000 sq ft warehouse at Oswal Logistics Park in Kolkata. The arrangement includes approximately 400,000 sq ft of plinth area plus 200,000 sq ft of mezzanine space. Under the agreement, Amazon will pay around INR 32 per sq ft in monthly rent-placing this among the higher-end lease deals within Kolkata's competitive warehousing market. Advertisement
A source familiar with the deal mentioned that the facility is expected to incorporate state-of-the-art automation and fulfilment systems to align with Amazon's global standards of operational efficiency and scale. The expected handover window spans between 2027 and 2028, illustrating the company's long-term logistical investment in the region.
This expansion underscores Amazon's continued determination to strengthen its last-mile delivery infrastructure, especially to serve rising order volumes across both Tier-1 and Tier-2 cities. Earlier this year, Amazon also leased over 800,000 sq ft in the Delhi-NCR region: 550,000 sq ft at Welspun Logistics Park in Luhari, and 300,000 sq ft at Indospace Logistics Park along the Sohna-Palwal Road.
According to Colliers India, the first half of 2025 witnessed leasing of 20 million sq ft across India's top eight cities-a 33 per cent year-on-year increase. Delhi-NCR and Chennai together accounted for nearly half of this demand. In Kolkata alone, Grade A absorption rose by 43 per cent year-on-year to 1.0 million sq ft from 0.7 million the previous year. The June quarter contributed 500,000 sq ft in gross leasing, signalling steady demand growth amid modest new supply, which matched last year's H1 at 1.3 million sq ft but saw a 20 per cent dip in Q2.
Large-scale leasing transactions-such as Amazon's-continued to dominate, comprising 51 per cent of leasing activity in India's leading cities, as exposure from sectors like 3PL, e-commerce, and engineering strengthened.
The new facility, set to be handed over in a couple of years, will incorporate high-end automation-reflecting Amazon's global approach to warehousing efficiency. Coupled with earlier leases in Delhi-NCR, this move reiterates its bullish stance on India's consumption-led growth. Amid robust demand and limited supply, such investments are poised to enhance Amazon's last-mile delivery efficacy and competitive edge in the market.
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