Key Considerations for Selecting Best the Warehouse to Lease
Here are the exact questions we are potential clients who need to lease warehouse space.
In our introduction call with prospective warehouse tenants, we work to truly understand their business and how their operations function – both currently and in an ideal environment. By working through our checklist, we can quickly narrow down the best buildings. This checklist covers a variety of warehouse types, from distribution and logistics warehouses, to manufacturing facilities and small flex operations. My suggestion is to look at this list and think over how each building characteristic fits into your workflow. From there you will be better prepared to search for a new warehouse for your company.
We detailed some of them in a video on our YouTube page, which can be found here.
Size
It’s no surprise, we need to narrow down the size of the building. We do this often by calculating the volume of materials that are stored at any one time and how high they can stack. I typically like to gauge how much space some one is currently in and use that as a benchmark.
If you are in distribution and logistics, you probably have a pretty good baseline. Where we run into trouble is with middle sized companies that need to account for future growth, without breaking the budget.
Location
We really have to dive into the details of the location. Do you need to be near a labor pool? How close to the interstate do you want to be. Hint: Next to an exit is almost always the right answer. Do you have suppliers or customers you want to group next to?
Power
Your power requirement is determined by the type of machines you are running. If you are in manufacturing or printing, you’ll have a pretty high power requirement. In that case, we might go and see what is available to pull from the utility as opposed to what is already servicing the building.
Doors
The number of doors and the type of doors are determined by how you send and receive shipments. Distribution centers will have a lot of dock doors. Smaller users may have just a handful of dock doors and a drive in door.
Ceiling Height
The future of industrial real estate will be measured in cubic feet rather than square feet. Large newly constructed buildings will have a clear height in excess of 36-40’. Materials are stacked to the ceiling and served by robotics. Smaller, more localized users will land in the 18’ – 24’ range.
Column Spacing
Your workflow will determine how wide you need the columns to be spaced. Again, the more modern buildings offer wider column spacing than older buildings. I typically advise clients to consult with an electrician or equipment supplier to understand how many amps are needed.
Office Ratio
Simply, how much office space you need. Regardless of size, most users end up in the 1,000-5,000 square foot range.
HVACs
Tenants are normally responsible for the repair and maintenance of HVACs. You need to ensure they are in good working order and regularly serviced in addition to simply meeting your heating and cooling needs.
Truck Court/ Loading
It’s important to understand how you are receiving 53 footers and where they go. Are you parking them on site and need slips? Are you okay with a front load design? Do you need a private a secure area?
Yard Space/ Outdoor Storage
Similarly, if you are storing heavy equipment or supplies outside, you will need outdoor storage space. Some construction users will require just a small warehouse but ample outdoor storage.
Zoning
Depending on your use, you may fall into Heavy Industrial or Light Industrial zoning.
Parking Ratio
This is simply how many cars can you park at the building. If you are in a single tenant building, are their enough spots for your employees, work trucks and customers? If you are in a multi-tenant building, do you need more than your allotted share?
Other topics to consider: Slab Thickness, Floor Flatness and fire suppression systems.
It’s a lot to think about! At Cumberland & Worthy, we work through all these questions with you and find you the right warehouse to lease. You learn more about our industrial real estate services on our website.