From scarcity to scale: Multi-level warehousing is the answer to land constraints.
Demand for central warehouse space has risen sharply over the past five years, driven by e-commerce and the need to position stock closer to customers to reduce transport costs, which typically account for around 60% of total supply chain costs.
However, scarcity of infill industrial land has made it increasingly difficult for occupiers to secure suitable sites. In response, multi-level warehouses are emerging as an innovative solution, providing premium leasing opportunities in Sydney’s core markets.
While multi-level in Australia remains nascent, its continued rollout through a large supply pipeline will reshape investment strategies and influence how occupiers make location and leasing decisions.
