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State of Logistics 2016: Pursue mutual benefit As e-commerce grows, so does the height of warehouses, says CBRE Diesel falls for the third straight week, reports EIA Report: U.S. District Judge finds UPS to be liable for shipments of cigarettes Various infrastructure funding bills rolled out by House members More News The phrase “things are looking up” may be an appropriate way to describe an ongoing shift towards the height and volume of warehouses and distribution centers, according to research released by commercial real estate firm CBRE. In a client research brief, entitled: “Measuring Up: Why Cubic Feet Matter,” CBRE explained that large occupiers are more efficiently using warehouse and cubic space, which is resulting in increased building clearance heights, and has in turn, made measurement of cubic feet, or the “third dimension,” that much more important. CBRE explained in the brief that taller warehouses exponentially increase the total volume of inventory available to occupiers, citing how: since 2010, more than 8.8 billion cubic feet was added to the warehouse inventory of the top 10 markets; the average height of warehouses built in the U.S. has gone up from around 24 feet in the 1960s to 32.4 feet this decade (33 feet in 2016); and 13.7 billion cubic square feet of warehouse space was built in the U.S. from 2010-2016, with 65 percent of that total coming in the ten largest markets, paced by the Inland Empire in California, Dallas/Fort Worth, and Chicago, whereas newly-built warehouses by ground-level floor area yields 422.5 million square feet A major benefit of additional vertical warehouse space, according to CBRE, is that e-commerce providers have leveraged that space by installing mezzanine levels that allow these companies to bring on additional human inventory pickers in each location. But it added that comes with the […]
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