Business Trends

Impact of E-commerce on Industrial and Retail Real Estate, by CBRE

File Type: Free Content, Article
Release Date: April 2013
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Major companies in the ecommerce business are choosing build-to-suit projects over renting space in existing buildings so that they can have increased infrastructure, heavy power requirements, higher clear heights, an abundance of land and locations in 24/7 zones, according to a new report by CBRE’s Global Research and Consulting group titled The Impact of Ecommerce on Industrial and Retail Real Estate.

The report stressed that markets near UPS and FedEx hubs are most likely to attract major distribution centers to service ecommerce sales. Same-day delivery models are a growing trend in ecommerce distribution and improve the prospects for urban infill development. According to the report, Amazon.com has announced major build-to-suit projects in California, New Jersey and Texas totaling more than 25 million square feet. This is in addition to the 37 million square feet that the firm already occupies across the U.S.