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07Mar 2020Metal Buildings

Warehouses - The Top Property Sector for Development and Investment


Warehouses often get left out of the limelight and forgotten. They’re simply not as glamorous as their office and retail counterparts. For a while, these buildings were actually forgotten by a large part of the economy, too, but they have come roaring back in popularity in recent years thanks to several factors, including the booming business of e-commerce. As the popularity and demand for warehouses continue to rapidly rise, more and more developers and investors are committing their resources to the warehousing sector. Metal warehouses are especially popular, as they provide a tremendous value and return on investment. Read on for more information about this unexpected explosion in popularity and what makes steel warehouses such a solid investment choice.

The Sudden Boom of Warehouses in the United States

The connection between the sudden boom of warehouses in the United States and the rise of e-commerce is obvious and direct. To use a well-known e-commerce giant to demonstrate this point, companies like Amazon have exploded onto the scene in the past two decades, driving the demand for new warehousing space all across America. In fact, over 40% of commercial property leases are related to e-commerce businesses. That’s a whopping number! Even when such warehouses are not directly supporting e-commerce by facilitating storage, organization, and distribution, they are often used by tech companies as server farms in order to support the increased demand for online commerce.

Class B, C, and D Warehouse Buildings

Thanks to the boom in the warehousing sector, there is actually a shortage of new, available warehouse buildings. Because of this, investors and businesses that need such buildings are competing for properties that feature outdated warehousing structures and industrial buildings. The reason that there is still a market for these structures - aside from the shortage itself - is that they are located in urban areas. In other words, e-commerce companies like Amazon are prioritizing location and convenience over practically everything, including building condition and price. This presents interesting development and investment opportunities, as older properties can be bought up, then the buildings can be renovated or replaced. Of course, some companies and circumstances do call for newer buildings that are custom-built to fulfill the needs of certain industries. These state-of-the-art warehouse buildings are also in high demand, so identifying your target audience is key. No matter what your development and investment strategies may be, you should not rule out class B, C, and D warehouse buildings. Often, these buildings are worth the time, money, and resources, as e-commerce businesses are willing to sacrifice for convenient locations.

How to Estimate the Cost of Warehouse Space

There are a handful of key factors to evaluate when determining the value of a particular space. The size, location, and potential use of a building are all exceptionally important, as they dictate what businesses may be interested in the property. You should also research comparable warehouse and industrial properties in the area. Be sure to compare them using the cost per square foot, which may require contacting the owners or locals with access to such information. Finally, you must also consider the condition of the space. Is it new or old? Secure or not secure? Does it have specialized equipment? These and other factors are vital in accurately determining the worth of a property.

Steel is Undeniably the Best Choice for Warehouses!

There’s no better building material for warehouses than steel. The advantages of metal warehouse buildings are numerous and diverse, making them the right choice for your warehouse development or investment project. We’ve highlighted a few below to give you an idea of just how advantageous steel buildings are.

  • Scalable - Metal warehouses come in many standard sizes and can also be made to fit the specific dimensions you need. This allows you to scale your building to perfectly facilitate the task at hand.
  • Customizable - The warehousing needs of businesses vary depending on the type of business they do, the size of their operation, their future plans, and so on. Coast to Coast Carports can provide a customized steel warehouse designed specifically for an individual business’ unique needs.
  • Affordability - All of the tremendous features that make steel warehouses the best option are available at affordable prices, helping you easily see a positive return on your investment.

Steel Warehouse Buildings - Your Ticket to Success

Invest your resources and time into something in high demand that is sure to pay off! With steel warehouse buildings from Coast to Coast Carports, you know you are receiving the best quality in the industry and the customer service to back it up. Simply call today on (866) 681-7846 to discuss your specific needs and how Coast to Coast Carports can meet them!

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