Demand for Warehouse Space Skyrocketing as Internet Shopping Grows

By:
Chris Gaetano
Published Date:
Jul 12, 2018
forklift-835340_1920

While shopping online can seem like a purely ones-and-zeroes affair, behind all our clicks remains a vital physical component that makes it all possible: warehouses. As people turn away from brick and mortar establishments and towards the Internet for their shopping, warehouses are struggling to meet skyrocketing demand for space to store all these goods people are ordering, according to the Wall Street Journal. Real estate industry reports show that, in the second quarter, demand for industrial space was 49 million square feet more than the actual supply that was available at the time. In fact, the availability of industrial real estate is the lowest it's been since the year 2000, with the number of vacant or soon-to-be vacant properties falling for a record 32 consecutive quarters. However supply and demand are getting closer to equilibrium, as developers are responding quickly to increased need. The Journal noted that warehouses are relatively simply to construct versus other buildings, as they mostly need just four walls and a roof to function. 

Click here to see more of the latest news from the NYSSCPA.