Abstract
Spatial reasoning in large-scale 3D environments such as warehouses remains a significant challenge for vision-language systems due to scene clutter, occlusions, and the need for precise spatial understanding. Existing models often struggle with generalization in such settings, as they rely heavily on local appearance and lack explicit spatial grounding. In this work, we introduce a dedicated spatial reasoning framework for the Physical AI Spatial Intelligence Warehouse dataset introduced in the Track 3 2025 AI City Challenge. Our approach enhances spatial comprehension by embedding mask dimensions in the form of bounding box coordinates directly into the input prompts, enabling the model to reason over object geometry and layout. We fine-tune the framework across four question categories namely: Distance Estimation, Object Counting, Multi-choice Grounding, and Spatial Relation Inference using task-specific supervision. To further improve consistency with the evaluation system, normali