Cushman & Wakefield has been looking at the growing importance of the on-line shopping segment in and its impact on the logistics property segment.
The real estate advisor says that in Brussels alone, annual e-commerce parcel volumes are expected to grow from 14.7 million parcels in 2016 to 27.2 million parcels in 2021.
As a result, demand for urban logistics space to serve last mile deliveries is growing in tandem with e-commerce orders.
Cushman & Wakefield's ‘Urban Space Model’ has calculated that urban logistics space annual requirements in Brussels will thus grow to 70,000 m² per year by 2021. As a comparison, the average last-mile urban logistics take-up across the whole of Belgium over recent years has been 15,000 m²/annum.
Urban logistics properties typically range between 3,000 m²and 7,000 m²in size across Europe. A complex and nascent real estate concept, last-mile urban logistics needs to tackle the issue of supply shortage in zones with a crucial 30-minute drive time to inner cities.
This, Cushman goes on to say, will require joint planning from (e-)retailers, parcel companies and city stakeholders in the long term in order to enable seamless integration in the urban landscape as well as re-appropriation of outdated warehouses located in 30-minute drive time zones from inner city locations.