In Mike O’Brien’s article regarding growth, he addresses the need for eCommerce growth and how the large demand for internet commerce has also lead to a huge demand for distribution centers. He then speaks of the many feats that internet commerce has achieved and how the trend has led to many companies looking for partnerships as well as leasing warehouses to place their products in. In addition, they also place some data in the overall increase of real estate that these companies now require.
- According to commercial real estate firm CBRE, there was 220 million square feet of net absorption of industrial/logistics real estate space in the U.S. in 2015, of which 50% to 75% comprised warehouses. This is compared to 150 million square feet of new supply, making the market the tightest it’s been in years.
- According to Forrester, ecommerce growth is projected to grow $373 billion this year to more than $500 billion by 2020. “As a result, fulfillment center demand is expected to stay strong for ecommerce,” Kelly said.
- Markets with the largest declines in commercial space availability in Q2, according to CBRE, were West Palm Beach, FL, Newark, NJ, Memphis, TN, Tampa, FL, Jacksonville, FL and Detroit, MI.
“According to commercial real estate firm CBRE, there was 220 million square feet of net absorption of industrial/logistics real estate space in the U.S. in 2015”