Logistics properties in high demand across Europe - CILT(UK)
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Logistics properties in high demand across Europe

26 March 2013/Categories: Industry News

The e-retail revolution is heightening the demand for large warehouses and distribution centres across Europe.

A new report by Jones Lang LaSalle (JLL) has indicated that European firms could require up to 25 million sq m of extra space over the next five years in order to keep up with the booming online shopping industry.

Internet sales are expected to double in the first half of this decade and it is clear that suitable storage bases - particularly those over 100,000 sq m - could soon be in short supply.

JLL head of logistics and industrial in Europe, the Middle East and Africa Paul Betts said merchants are outgrowing their existing supply chains.

"While traditional retailing is still driving demand for retail infrastructure, the growth of online is fundamentally changing the size and shape of distribution centres and where they are located," he remarked.

Companies in the UK are certainly finding it hard to secure large-scale logistics properties and numerous studies have warned of a potential warehouse crisis unless a wave of new buildings are erected.


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