Industrial & Warehouse

Overview

The outlook for the industrial/warehouse sector continues to brighten, including expected decreases in vacancy rates and projected gains in rental rates. The demand for warehouse space is on the rise and gaining the attention of companies and investors. Read about market data and statistics; innovative ways to market and utilize warehouse space; and insight into the how the legalization of marijuana is making an impact on the warehouse industry.

References

NAR Library & Archives has already done the research for you. References (formerly Field Guides) offer links to articles, eBooks, websites, statistics, and more to provide a comprehensive overview of perspectives. EBSCO articles (E) are available only to NAR members and require a password.


Types of Ware​houses

Warehouses are the most common types of storage, however other forms do exist (i.e., storage tanks, computer server farms, etc.). Some warehouses are massive structures that simultaneously support the unloading of numerous in-bound trucks and railroad cars containing suppliers' products while at the same time loading multiple trucks for shipment to customers. Here we look at five different types of warehouses:

  • Private Warehouse: Owned and operated by channel suppliers and resellers and used in their own distribution activity.
  • Public Warehouse: Space that can be leased to solve short-term distribution needs.
  • Automated Warehouse: Advances in computer and robotics technology have enabled many warehouses to feature automated capabilities.
  • Climate-Controlled Warehouse: Space that is capable of storing many types of products including those that need special handling conditions. 
  • Distribution Center: Warehouses where product storage is considered a very temporary activity.

Source: Types of Warehouses (KnowThis, 2019)

Industrial & Warehouse Trends

Retailers, Logistics Firms Establish Warehouses Closer to Cities (Transport Topics, Oct. 15, 2019)

CBRE Report: Light-Industrial Properties Gaining Traction (Modern Materials Handling, Oct. 14, 2019)

Amid Shifting Winds, Industrial Stands Strong in Core Markets (RE Journals, Sep. 23, 2019)

Which Markets See the Greatest Demand for Warehouses? (Supply Chain Dive, Aug. 29, 2019)

The E-Commerce Industrial Revolution (The Real Deal, Aug. 1, 2019)

Available Supply of U.S. Industrial Property Ticks Up For First Time since End o0f 2010, CBRE Says (Freight Waves, Jul. 15, 2019)

Industrial Real Estate: Warehouse Vacancy Low Despite 'Unprecedented' Construction (JoC Online, Jun. 19, 2019) E

Industrial & Warehouse Brokerage and Investment

Blackstone Sells $3B Logistics Portfolio (Commercial Property Executive, Oct. 8, 2019)

Blackstone Strikes Again, Snapping Up 60M SF Industrial Portfolio for $5.9B (Bisnow, Sep 30, 2019)

Lexington Realty Buys Big, Eying E-Commerce (Commercial Property Executive, Sep. 12, 2019)

Amazon Leases New Multistory Warehouse in South Seattle, First of its Kind in U.S. (Seattle Times, Sep. 10, 2019)

Eight Things to Know about Industrial Real Estate (Forbes, Jul. 8, 2019)

Industrial Becomes Top Choice for NNN Buyers (GlobeSt.com, May 9, 2019)

The U.S. Warehouse Boom (Legg Mason, Jan. 30, 2019)

Trending: Warehouses & Legalized Marijuana

$42 Million Marijuana Grow Warehouse Planned in Warren (Crain’s Detroit Business, Oct. 11, 2019)

Is Legal Cannabis CRE’s Next Big Tenant? (Commercial Property Executive, Sep. 27, 2019)

Local Businesses Likely to Have Hand in Readying Planned Indoor Pot-Growing Site in Adams (The Berkshire Eagle, Sep. 6, 2019)

Medical Marijuana Inhales Some Warehouse Space in Oklahoma City (The Oklahoman, Aug. 17, 2019)

Appetite Strong but Cautious for Cannabis Real Estate (GlobeSt.com, Jul. 23, 2019)

Cannabis Industry Comes to Find Real Estate Tight in Southern California (Weedmaps, Jun. 13, 2019)

eBooks & Other Resources

eBooks.realtor.org

The following eBooks and digital audiobooks are available to NAR members:

Commercial Real Estate Investing 12 Easy Steps to Getting Started (eBook)

Commercial Real Estate Investing – A Creative Guide to Successfully Making Money (Kindle, eBook)

The Complete Guide to Real Estate Finance for Investment Properties (Kindle, eBook)

A Master Guide to Income Property Brokerage – Boost Your Income By Selling Commercial and Income Properties (Kindle, eBook)

Successful Real Estate Investing — How to Avoid the 75 Costly Mistakes Every Investor Makes (eBook)


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