Multi-story Industrial Builds Are Two Years Away

Louis Tomaselli

In the next year or two, expect to see multi-story industrial developments come to Southern California. With little land available for new development and growing demand for industrial users to be close to population centers, industrial development is going to have to head up. Multi-story warehouses are already commonplace in dense European markets, like London, and in the New York/New Jersey area, there are currently five multi-story warehouses under construction.

“It really comes down to the distance that you need to be from the population base. If you want to be delivering in an hour or two hours and you have 9 million people in Downtown Los Angeles, then you need to be in Downtown Los Angeles,” Louis Tomaselli, senior managing director at JLL, tells GlobeSt.com. “There is no land there, and you can’t build a 400,000-square-foot box, so the only thing to do it to go up.”