E-commerce firms flex their muscles on DC site selection
By Ben Ames
E-commerce and logistics companies are claiming a growing share of the country’s largest warehouse leases, a trend which gives them more leverage in choosing the optimal sites for locating their DCs, according to a study by CBRE Group Inc.
The e-commerce and logistics firms tracked by CBRE have growing influence over U.S. warehouse construction in comparison to other industrial leasing clients in industries such as manufacturing, food and beverage, technology and retailing, the report showed. That change is measured by e-com companies’ rising share of the 100 largest industrial leases signed in 2018 compared to a year earlier, Los Angeles-based real estate and logistics services provider CBRE said.
CBRE found that 61 of the largest 100 leases in 2018 were signed by e-commerce companies and logistics firms, representing a total of 61.5 million square feet. Both those figures were up from their 2017 marks, when the same types of firms signed just 52 of the largest leases for a cumulative 43.2 million square feet of space, CBRE said. And that momentum is expected to continue in 2019, as both the e-commerce leasers and the logistics firms in the study—led by third-party logistics providers (3PLs)—ride a steady wave of online commerce.
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