Demand continues to surge in top industrial real estate markets, with little sign of slowing down, but it’s not just for space inside the four walls.
According to brokers and landlords, parking requirements have soared alongside tenants’ search for warehouse and distribution facilities. The growing demand — which is often tied to the use of large delivery fleets in northern New Jersey and other population centers — is now spurring changes in building design and creating new revenue streams for industrial owners, while adding to an already insatiable appetite from investors.
“You’re seeing that more in the true last-mile, infill locations, because it’s all about turns and getting the products (to customers),” said Jeff Milanaik, Bridge Industrial’s Northeast region partner, noting that parking needs are especially intense at e-commerce delivery centers, which typically feature smaller warehouses served by large numbers of vans and box trucks. “That’s where you’re going to see continued demand for fleet parking.”