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Freight volume at international gateway airports will continue to rise over the next twenty years, but competing uses and scarcity of land will limit the ability to dedicate land to new facilities towards cargo handling. As a result, air cargo buildings will need to handle this rising demand by more intense use of a limited footprint. Future properties may take the form of multi-story industrial buildings or properties with higher ceiling clear heights to accommodate automated racking. To date, this property design is largely absent in North America, but its emergence may be imminent.
 

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How "Final Mile" Efficiency Creates Real Estate Value

Today’s consumer demands convenience and speed of delivery without considering where a product may be located within a company’s supply chain. A retailer’s ability to reduce the lead time between capturing and delivering an order is an increasingly important competitive advantage. Final mile high flow-through (HFT) facilities are being used as tools by these vendors to turn over product at greater velocity in response to this consumer demand.

 

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High Flow Through (HFT) Real Estate Enables E-commerce

Over the past decade, all inflation-adjusted retail sales growth in the U.S. has been the result of exceptionally strong growth in e-commerce. A key factor facilitating growth in the sector has been a wholesale redesign of the network of properties through which goods are delivered to the consumer. Looking forward, well-located transportation-advantaged properties that facilitate the movement of goods to the consumer are poised to capture significant demand, as retailers adapt to competitive pressure to cut costs and support the delivery promise.

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High flow-through Logistics Paper

The high flow-through logistics (HFT) real estate sector comprises a significant share of the industrial real estate market. This paper measures the size of this rapidly expanding market and briefly describes the use of this real estate.

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The Increasingly Important Final Mile

An evolving retail landscape and the resulting changes in the transportation industry are heightening the importance of distribution facilities serving the "final mile."

An evolving retail landscape and the resulting changes in the transportation industry are heightening the importance of distribution facilities serving the “final mile” of shippers' delivery networks.

Read more at: http://www.ttnews.com/articles/sctemplate.aspx?storyid=39617&utm_source=express&utm_medium=newsletter&utm_campaign=newsletter

© Transport Topics, American Trucking Associations Inc.
Reproduction, redistribution, display or rebroadcast by any means without written permission is prohibited.

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The Future of Transportation is "Asset Light"

In recent years, many successful transportation companies have sought to reduce asset ownership, becoming more “asset light”. Technology advances and shifting global trade patterns threaten the competitiveness of companies without the flexibility to respond to these changes.

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Nathan Kane

Head of Research

Phone: 443.321.2653
Email: nkane@realterm.com

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