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Savills report: Balancing warehouse location and rent costs
There are any number of variables in play when adding a new site to a logistics network, but processes are in place to avoid ‘occupier’s remorse’.
Hatmill’s CEO, Simon Dixon, writes about selecting a warehouse site in Savills latest report ‘The affordability of warehouse rents’.
The current market for logistics property is as hot as it’s ever been, with limited supply and high demand, there is significant pressure on rents to increase. That’s the simplistic version that the property market likes, the operational reality is somewhat different…
When adding a new site to a logistics network, or choosing to move to a new site, the number of variables can be overwhelming. It is, therefore, unsurprising that some businesses choose to base their selection on evaluating fewer variables, particularly when the lead-time for having a new facility can be a pressing factor.
However, to avoid ‘occupier’s remorse’, it is only through the forensic testing of all the variables that occupiers can be confident in their selection and its associated likely future cost base.
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The affordability of warehouse rents
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