More warehousing needed – UBS
Wednesday, 31 July 2019
Sydney, NSW, Australia
Australia needs an additional 350,000 sqm of new industrial and logistics space
Industrial property is lagging behind e-commerce growth, according to market analyst UBS.
The Sydney Morning Herald
cites UBS' latest Evidence Lab report which indicates that e-commerce will grow 13% in the current year, while industrial property availability is tipped to rise just 10%.
A UBS analyst is quoted as predicting that the large rise in demand for online goods will force industrial property developers to find more sites closer to higher-density locations.
The growth in e-commerce is expected to create a requirement for an additional 350,000 sqm of new industrial and logistics space in Australia leading up to a peak in 2022.