The scarce availability of logistics land in large cities and the rising cost of the limited quality supply is pushing shippers to look for new alternatives in the market to adapt to storage needs in urban environments.
In this context, Rhenus Logistics' Transport Related Warehousing (TRW) services are an increasingly competitive solution, popularising its consolidated warehouses as maximum efficiency facilities for companies' supply chains.
What factors drive up the price of logistics warehouses?
The real estate developer Prologis points to a 9% to 14% increase in logistics warehouse rents in Spain and identifies four levers that are driving this increase.
Firstly, the rise of e-commerce has generated a greater demand for storage and distribution space to meet the needs of online consumers, whose purchasing behaviour has grown significantly in recent years.
On the other hand, the obsolescence of non-material assets is driving companies to look for modern, more efficient solutions that adapt to changing market demands. This leads to a constant search for more strategic and functional locations for logistics warehouses.
The third factor is 'nearshoring', a trend that involves bringing industrial and production areas closer to consumer areas in order to reduce delivery times and optimise logistics. This strategy makes industrial development compete with logistics for premium facilities close to cities, making the development of new warehouses more difficult and expensive.
Finally, the business trend of maintaining higher levels of stock to guarantee the continuity of operations and to face situations of high demand or interruptions in the supply chain is leading to a much more intensive use of warehousing.
This behaviour, which can be traced back to the global uncertainty following the impact of the pandemic, has increased companies' inventories by 12% on average, requiring more square metres dedicated to warehousing close to consumer markets.
TRW, a cost-effective alternative for urban storage
The Rhenus Group's TRW consolidated warehouses are a very competitive option for companies seeking to mitigate the effects of rising property prices close to cities. In addition, they offer an effective response to the new needs of shippers and are perfectly adapted to all types of sectors and goods.
By consolidating goods from different companies, they achieve greater logistical efficiency and significant savings in operating costs. This makes them a very attractive alternative for companies wishing to avoid hiring their own warehouses, especially in areas close to cities where property prices are higher and continue to rise.
5 benefits of TRW warehouses for loader companies
1. Cost savings: sharing space and logistics services with other companies significantly reduces operating costs and transforms fixed costs into variable costs, paying only for the space and movements they really need based on their sales and demands.
2. Proximity to the market: being located close to urban markets and major consumption areas, they facilitate faster and more efficient distribution of products, enabling them to meet customer delivery expectations, especially in industries that operate with tight delivery margins.
3. Flexibility and scalability: they adapt to different freight volumes and changing business needs, providing greater flexibility and expandability without incurring excessive costs.
4. Greater agility: the optimal location of these warehouses allows an immediate response to adjust stock to any unforeseen demand, which is essential in an increasingly dynamic and competitive business environment.
5. Added services: in addition to storage, Rhenus offers a wide range of complementary services in these facilities, such as packaging, labelling, assembly, repair and stock management, which provide added value to the storage process and the logistics operations of companies.
In addition, this service is integrated into the entire offer of integral solutions provided by Rhenus on an international scale throughout the supply chain, so that the storage process is fully integrated into the group's transport and distribution network, providing maximum guarantees for companies in the event of any need that may arise in their logistics operations.