Written By: Austin Wetzel, Sales Associate
Despite the Covid-19 pandemic looming over the majority of 2020 and into 2021, the supply chain and 3PL industries have been booming.
In Northeast Ohio, vacancy rates have steadily remained under 4%. With stay-at-home orders issued in 2020 and a record number of employees working from home or remotely, we have seen a drastic increase in products being purchased online. Companies like Amazon, DHL, FedEx, and UPS have been looking to industrial brokers and developers to find solutions to their growing “big box” real estate needs.
These companies are expanding their footprint for several reasons. Some are looking for more locations to accommodate their greater need for last-mile distribution centers. Others may be looking for large locations to hold more on-hand inventory in case of inevitable or unexpected supply chain interruptions (like those that occurred in 2020).
With consumers opting for e-commerce solutions and the end of the pandemic in sight, these needs could have a more permanent effect. We are seeing companies lease more space at larger facilities to ensure their inventory levels can meet demand.
Through my studies in supply chain and operations management and my time in industrial real estate, I believe that we’re going to continue to see a need for companies to expand and find new solutions for inventory control and safety stock in order to meet consumer expectations.
Industrial brokers are working around the clock to find these solutions so our clients can continue to grow amidst such low vacancy rates in the Northeast Ohio market.
To learn more about how CRESCO, Greater Cleveland’s leading commercial real estate company, can help you with your property needs, contact us at 216.520.1200, or fill out the form below. A CRESCO professional will contact you shortly.