10 Jun Research Predicts a Gain in Cold Storage Warehouse Space
Research Predicts a Gain in Cold Storage Warehouse Space
According to research recently released by the industrial real estate firm CBRE, “Cold Storage: About to Heat Up?” there is potential for demand to drive roughly thirty-five million square-feet in cold storage in the United States over the next seven years. As more consumers continue the trend of online grocery shopping, more cold storage space is moving from retail stores to warehouses and distribution centers.
CBRE estimates that the U.S. market for food-commodity cold storage space encompasses around 180 million square-feet of industrial space, which is mostly refrigerated warehouses – this number does not include an additional 300 million square-feet of grocery stores and other retail venues.
As impressive as these numbers are, the data provided by CBRE found that there is more room for growth in the U.S. cold storage industry. Approximately $19 billion was reported in online grocery sales in 2017 and predicted to hit $100 billion by 2024 (data from FMI/Nielsen). The drive for cold storage warehouse space is coming from population growth, and the change of consumer behaviors and consumption habits.
To read the full article from Logistics Management, click here.
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