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Retailers, Logistics Firms Establish Warehouses Closer to Cities
“Retailers and logistics firms are establishing warehouses closer to large urban centers to keep up with rising consumer demand for faster delivery of products ordered online.”
Warehouse space near urban centers is expensive, causing the need for vertical expansion which reduces the building’s footprint.
“Despite rents being at a premium rate, the overall long-term cost for the tenant should be lower because they can expect cheaper transportation costs plus a larger labor pool.”
The rise of e-commerce is changing shipping patterns to meet consumer demands, causing a higher frequency of multistop shipments with only partial truckloads.
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