The last decade has been a time of profound and consequentialchange in industrial construction. Trends like the integration andinfluence of new technology, adapting to space limitations in urbanenvironments, the explosive growth and proliferation ofdistribution centers, and the push towards zero waste and greenbuilding practices all have the potential to impact industrialoperations in ways both subtle and significant for a very long timeto come.

Understanding some of the more transformative and impactfulindustrial design and construction trends and innovations—how thosetrends came about, and how they are likely to play out in the yearsahead—could provide valuable insights into the future of anevolving industrial landscape.

The distribution boom

One of the biggest trends impacting the design and constructionof industrial facilities is a significant spike in distributioncenters. Distribution centers large and small are one of thefastest-growing sectors in the industrial market, primarily as aresult of the growing popularity and prevalence of e-commerce. Fromgiant national players like Amazon, to online groundbreakers likeWarby Parker and StockX, the transactions may be digital, but theproducts—and the infrastructure required to store and ship thoseproducts—are anything but. Even brick-and-mortar retailers likeTarget and Walmart are building and acquiring distributionfacilities in an attempt to remain competitive in a marketplacewhere the convenience of online retail has fueled a continuingshift in consumer expectations about product availability,selection, and speed of delivery. Department store giant Nordstrom,which made significant investments in bolstering its onlinedistribution infrastructure in recent years, has seen thatinvestment pay off in dramatic ways. Much of Nordstrom's 2018growth can be attributed to online sales, which now make up morethan a third of the brand's business.

Tech-ups

Distribution centers are the forefront of the technology boom inindustrial facilities. Today's cutting-edge facilities areautomated to an extent that would have seemed like science fictionin the not-too-distant past. Robots and driverless machines areincreasingly being used for stocking, picking, packaging, andmoving products and materials across warehouses. Increasedautomation has very real implications for industrial facilitydesign. Instead of buildings designed for people, we now havebuilding designed for robots. Aisles can get narrower and shelvestaller, allowing for more efficient designs that maximize availablespace.

Space and size evolution

One clear issue that is influencing the way industrialfacilities are designed and built is the availability of realestate—or the lack thereof. The increasing cost and limitedavailability of land, especially in key markets, is driving up theprice tag of industrial facilities and limiting expansion optionsat a time when distribution demands are driving new construction(and redevelopment). An acre—which is a significant sized lot in abusy urban market—might seem like a lot of space, but for anindustrial warehouse, that's a tight squeeze. Consider that factthat approximately 64% of U.S. warehouses are larger than 25,000square feet and 37% are larger than 100,000 square feet. Anotherhurdle for an expanding industrial sector is the ongoing lack ofinvestment in transportation infrastructure around the country.