RAPIDLY CHANGING INDUSTRIAL MARKET: They’re not the prettiest, but industrial properties are going to have to adapt to new physical changes, according to industry experts. With e-commerce sales increasing due to the pandemic, developers and owners now have their eyes on:
SPRINTER VANS: Usage is growing. Businesses will need to incorporate & adapt to them inside & outside the building. These vans haul cargo, stow gear & raise standards.
ELECTRIC CHARGING STATIONS: Electric semi-trucks may not be used yet, but charging stations will soon need to be installed into facilities.
HUB-AND-SPOKE MODEL WAREHOUSE: It’s been around for a while & was set up to transport goods from warehouse to store–a B2B model. But a B2C model is growing & will move goods from warehouse to consumer, changing the spokes location.
BIG BOX FACILITIES: Intermodal/trans-shipping hubs could face development risk because new supply has outpaced steady demand. Rising vacancy rates is the result. Smaller infill facilities & most port markets face less risk, say experts.
Industrial properties are still a favoured investment opportunity. Investors now need to consider: local supply risk; obsolescence risk; and long-term demand drivers. All things considered, there’s movement in the industry!
