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Small Industrial Tenants Feel Squeezed Out Of Booming Warehouse Market

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Warehouses keep getting larger, catering to retailers like Walmart Inc., The Home Depot Inc. and the biggest industrial user of them all, Amazon.com Inc., that these days frequently take down 1 million square feet or more in a single lease transaction.

But while mammoth distribution hubs or sprawling manufacturing plants tend to be headline-grabbers, small warehouse users — including those needing 100,000 square feet or less — remain the bread and butter of many industrial markets nationally.

And in a warehouse market with constrained inventory, rapid rent escalation and fierce competition, it’s getting tough for small warehouse users to find, and afford, space. Continue reading

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How E-Commerce Is Making CRE Adapt

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Around midyear, Walmart will open a massive 1.2 million-square-foot e-commerce fulfillment center just west of Georgia’s capital.

Robert Zelis, vice president supply chain, Sam’s Club.com at Walmart eCommerce, says the new facility, which will house 500,000 SKUs, is just one indication that Walmart is adapting well to the changing habits of shoppers.

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