Tag Archive for: seaport logistics space

Port Everglades Sees Investment By Private Sector With Warehouse Builds

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Business opportunities at Port Everglades are expanding with the construction of two warehouses that will offer distribution and logistical services.

Seagis Property Group just reported that it’s 75% complete with its 199,624-square-foot speculative development at 1700 Eller Drive in Hollywood. It expects construction to be complete in September. The building sits just outside Port Everglades’ security entrance allowing for prompt entry to the seaport’s cargo terminals, Port Everglades International Logistics Center (PEILC) and Florida East Coast Railway‘s near-dock facility.

The other new build is by Bridge Industrial, which anticipates completing its 170,892-square-foot logistics facility in the second quarter of 2024. The building is less than a mile from Port Everglades at 2200 NE 7th Ave. in Dania Beach. It’s the former site of Park ‘N Fly.

“The creation of warehouses immediately adjacent to Port Everglades is an indication of our seaport’s strength and standing in the marketplace,” said CEO and Port Director Jonathan Daniels. “The private sector understands the advantages of partnering with our Port. In addition to being conveniently located near major modes of transportation, we are responsible for more than $28.6 billion worth of trade in 2022. That is attractive to businesses.”

These new privately owned warehouses will complement the PEILC, a public-private partnership with CenterPoint Properties that was built in 2020 on 16.657 acres of Port-owned property. The entire PEILC is activated as Foreign Trade-Zone No. 25 allowing for the efficient distribution of goods at lower duty and tariff costs.

By The Numbers

According to Bridge Industrial, the new Bridge Point Port Everglades warehouse will have:

  • 32-foot clear ceiling height
  • 34 dock-high doors
  • 2 drive-in doors
  • A 120-foot truck court
  • 156 car parking spaces
  • Seagis Property Group reported that its warehouse will have:
  • 36-foot clear ceiling height
  • 32 dock doors
  • 2 oversized drive-in ramps
  • 172 automobile parking spaces
  • 49 trailer parking spaces

 

Source: AJOT

Labor Shortages, Land Availability Will Pressure Industrial In 2022

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Labor scarcity will be among the major headwinds driving industrial commercial real estate decisions in 2022 as record shortages challenge distribution channels and unemployment hits a near-historic low.

ā€œWith industrial related hiring already at all-time highs, the continued need for labor to service growing e-commerce demands, combined with an economy at nearly full employment, is exacerbating the labor shortage for distribution workers in many markets,ā€ a new Colliers report notes, adding that the US unemployment rate is now near a 50 year low of 3.5%.

And while so far, the industrial sector has managed to post record growth, the labor shortages span ā€œnearly all demographic groups and affect the entire American economy,ā€ and continuing lows will slow the rate of economic growth and slow manufacturing output, Colliers predicts.

ā€œWhile automation and advanced technologies are becoming more prevalent and affecting industrial employment, the future will still rely on highly skilled labor to operate complex systems and machinery, alongside roboticsā€”labor that is increasingly more difficult to find,ā€ the Colliers report notes.

In addition, scarce land availability will continue to impact the sector.Ā Prologis reportsĀ that construction starts have risen to an all time high of 120 million square feetĀ in the sector, but the firm notes that new supply is mainly concentrated in low-barrier secondary and tertiary markets and the outlying submarkets of inland markets.

While a record level of new supply is expected by the end of 2022ā€”including massive build-to-suit projects for e-commerce suppliers and big-box chainsā€”land near big population centers is increasingly scarce.

ā€œCompanies seem willing to pay a premium price for land with fierce competition for developable sites,ā€ Colliers analysts note. ā€œThis competition is also driving up industrial rents, especially for logistics space near US seaports.ā€

Colliers also notes that facilities in excess of 2 million square feet are increasingly popular in dense markets as retailers attempt to establish footholds closer to consumers and shorten delivery times. The firm is tracking 12 such big-box multi-story industrial mega centers currently under construction, and notes that a vast majority are for Amazon.

 

Source: GlobeSt.