SOURCE: Colliers International

Colliers International

January 18, 2016 23:47 ET

New Infrastructure and e-Commerce Boom Trigger Expansion of Logistics Real Estate

HONG KONG, CHINA--(Marketwired - January 18, 2016) - Thanks to the completion of a few transportation infrastructure projects, the outlook for Asia's logistics sector looks very promising, according to Colliers International's latest Asia Property Outlook 2016 report. The "One Belt, One Road" project implemented by China to link up various nations from Asia to Europe is expected to forge ahead in 2016. Southeast Asian countries such as Thailand and, in South Asia, India will be set to benefit as the first movers.

The exponential growth of e-commerce is no stranger to the global retail scene. "The volume of online shopping has been growing at an exceptional pace in China. Alibaba's 2015 "Single's Day" internet shopping festival by itself alone generated four times the sales volume of Black Friday and Cyber Monday in the United States combined," Tammy Tang, executive director of industrial services, China, says. "The development of logistics facilities in Asia has largely lagged demand hence we see sustained demand for high-quality logistics space in 2016."

The challenge logistics occupier and investors facing is the lack of land supply for the development of brand-new logistics warehousing facilities. Given the potential for growth, Colliers foresees that in 2016, more global funds will enter the market and form creative partnering arrangements or joint ventures between funds, occupiers and operators.

For more findings from Colliers International's Asia Property Outlook 2016 report, please visit

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