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Warehouse vs Factory Building: Which is Right for Your Business?

โฑ 6 min read

When searching for industrial property in Coimbatore, you'll encounter two main building types: warehouses and factory buildings (also called factory sheds or industrial sheds). Many businesses use these terms interchangeably, but they have distinct characteristics that matter enormously for your operations. Choosing the wrong building type can result in costly modifications, compliance issues, or operational inefficiencies.

The Core Difference

A warehouse is primarily designed for storage and logistics โ€” receiving goods, storing inventory, and dispatching orders. A factory building is designed for manufacturing โ€” housing machinery, enabling production processes, and supporting a workforce performing physical tasks.

Ceiling Height

Warehouses typically have very high clear heights โ€” 24 to 40+ feet โ€” to allow multi-level racking systems. This vertical storage is what makes warehouses efficient for logistics companies.

Factory buildings typically range from 14 to 28 feet clear height. This is sufficient for most machinery, overhead cranes (if needed), and mezzanine office spaces, but not for high-bay racking systems.

If you need to store palletised goods in high racking, a warehouse building is necessary. If you need floor space for machines and production lines, a factory building is better optimised.

Floor Load Capacity

Factory floors must support heavy machinery. Standard factory buildings are designed for 5โ€“10 tonnes per square metre, with heavy-duty specifications going up to 15 t/sqm or more.

Standard warehouse floors are designed for uniform distributed loads from racking systems โ€” typically 3โ€“6 t/sqm for light warehouses. While sufficient for storage, they may require reinforcement for heavy manufacturing equipment.

Power Infrastructure

Factory buildings are designed with more substantial electrical infrastructure โ€” three-phase supply points at multiple locations, heavier cable trunking, and provisions for machines anchored to floors.

Warehouses typically have lighter electrical needs โ€” lighting, dock leveller power, and perhaps a small office load.

Rule of Thumb

If your primary activity is making something, you need a factory building. If your primary activity is storing and moving something, you need a warehouse. If you do both, look for an industrial shed with flexible design โ€” often called a factory-cum-warehouse.

Zoning and Compliance

Factory buildings used for manufacturing (especially in Red or Orange Zone categories) require TNPCB consent. Warehouses used purely for storage typically fall in Green Zone and have simpler compliance requirements.

If you're in a Red Zone industrial area like Vedanth Industrial Zone, the land is approved for both manufacturing and industrial storage โ€” giving you flexibility to use the space as a factory, warehouse, or a combination.

Loading and Unloading Facilities

Warehouses typically have dedicated dock levellers, loading bays, and truck parking areas. Factory buildings usually have one or two large shutter doors for goods movement, with production workflow optimised for internal logistics rather than high-volume throughput.

Which is Right for You?

Vedanth Industrial Zone Buildings

Our 2400 sqft industrial buildings near Annur, Coimbatore are designed as factory buildings โ€” with large shutter doors, adequate clear height, three-phase power, and strong floor construction. They are ideally suited for small and medium manufacturing units, light engineering, assembly, and industrial storage. Rent starts at โ‚น12/sqft per month.

Looking for Industrial Land in Coimbatore?

Vedanth Industrial Zone offers Red Zone land and factory buildings for rent near Annur, Coimbatore. Competitive rates, flexible leases.

๐Ÿ“ž Call +91 9042317075