Factors That Affect the Cost of Warehouse Space RentFactors That Affect the Cost of Warehouse Space Rent

Warehouse space for rent is one of the biggest commercial real estate expenses that brands face. And with the industrial space / warehouse market becoming so hot, many brands are seeking out spaces to meet their warehousing and distribution needs.

There are various factors that can affect the cost of warehouse space rent. Some of these include square footage, base rate and operating costs (such as triple net lease, common area maintenance, insurance and janitorial services). It is important to determine what your brand’s specific needs are before starting your warehouse search so that you can find the perfect facility to fit your business model.

Your Business Hub: Navigating the Market for Warehouse Spaces Available for Rent

The good news is that there are a number of ways to lower warehouse space rent by making the right choices during your commercial real estate search. For example, e-commerce brands that choose to utilize smaller fulfillment centers in population-dense cities can decrease their warehouse space rent by leveraging intelligent courier routing to minimize shipping time and costs. In addition, by optimizing vertical storage space, your brand can save on square footage and thus reduce overall warehouse space rent costs.

Another factor that can significantly affect the cost of warehouse space rent is whether or not your brand will be leasing a special-purpose industrial property, a general purpose industrial property, or a flex space. As a general rule of thumb, special-purpose industrial properties typically have higher prices per square foot than general purpose industrial property and flex spaces.

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