Uttar Pradesh ranks second after Haryana in warehousing transactions across the country and this fact has surfaced in the latest India Warehousing Market Report-2020.
The report, released in Lucknow on Thursday, said that UP used 0.6 million square feet of warehousing transactions in 2020. It also said that Lucknow was emerging as the hub of warehousing in the country.
The report further said that availability of Grade A warehousing space on Lucknow-Kanpur Road had been reported as prime attributer to a healthy 26 per cent hike in transactions.
The Lucknow-Kanpur highway cluster contributed to 66 per cent of volume, followed by Bijnor-Nadarganj cluster with a contribution of 34 per cent.
Rents in newer locations of Lucknow–Kanpur highway, such as Asha Kheda, Kusheri and Sohramau, range between Rs 183 and Rs 226 per square metre per month (Rs17–21/sq ft/month) for Grade A type warehouses and between Rs 161 and Rs 194 per sq m/month (Rs 15-18 per sq ft/month) for Grade B type warehouse facilities. 
Almost two  million square feet of Grade A built-to-suit space is scheduled for completion in the next 18 months. With an estimated stock of approximately four  million square feet, upcoming space works out to a significant 50 per cent addition in a relatively short time.
Third Party logistics and e-commerce companies accounted for 73 per cent of space transacted during 2019-20 in Lucknow.
The report said that Lucknow was emerging as one of the most attractive warehousing markets in the country. The Lucknow-Kanpur highway cluster is expected to continue witnessing high market transactions in demand and development activity due to availability of reasonably priced large land parcels, good road connectivity and benefits of industrial land use classification under Lucknow Industrial Development Authority, the report added.