ORANGE COUNTY, CA—Distribution expansion is returning to the infill market, where e-commerce companies are looking to place smaller industrial buildings in order to be closer to consumers, Rick Ellison, executive director with Cushman & Wakefield‘s industrial properties group. The trend is moving the focus away from just the Inland Empire, where many mega-warehouses are located.

“The Inland Empire was attracting a lot of distribution tenants, where the focus was ‘bigger is better’ and the attention was on massive-scale distribution buildings in the 1.5-million-plus-square-foot range,” says Ellison. “But now, with the desire of having same-day or next-day delivery, a lot of e-retailers want to be closer to the population-dense markets.”

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