The Rise of 3PLs Amid the Pandemic
The ramifications of the COVID-19 pandemic have reshaped industries, and the role of third-party logistics providers (3PLs) has surged. 3PL providers offer full-service logistics and supply chain management services, such as inventory management, warehousing and distribution, reverse logistics, vendor management, strategic planning, and many more. 3PLs are the mediators between suppliers, manufacturers, and retailers, smoothing storage efficiency and the movement of goods in the supply chain. 3PLs have grown popular for the convenience of customers being able to focus on core competencies, elevate supply chain performance, cut costs, and secure a competitive advantage in the evolving business landscape. In recent years, 3PLs have dominated bulk leasing activity in the United States, capturing over 30% of the market, driven by the unprecedented growth of e-commerce. Sealy & Company is uniquely qualified to capitalize on this evolution with our proprietary knowledge of current and historical market dynamics as we continue to artfully aggregate a portfolio that reflects the changing needs of the logistics landscape.
Future Growth Driven by E-Commerce and Automation
Looking ahead, a trajectory of growth mirroring the levels seen in 2023, both domestically and globally. According to an article published by CBRE titled ‘The Global Outsourcing of Warehousing‘, this growth projection is underpinned by the increasing adoption of automation technology by 3PLs, aimed at optimizing supply chain operations in response to the promising e-commerce landscape, which accounted for 23% of total retail activity in Q4 2023. As e-commerce continues its exponential ascent, accounting for 23% of total retail activity in Q4 2023.
Sealy’s Portfolio by Design Strategy
Sealy’s Portfolio by Design strategy exemplifies its dedication to minimizing risk and maximizing value. By concentrating on property types like Regional Distribution & E-Commerce Centers, Flex Warehouses, and Last-mile Delivery Logistics Hubs, Sealy showcases its adaptability to emerging market trends. Moreover, the focus is on securing creditworthy, supply chain-oriented tenants, emphasizing our commitment to long-term stability and profitability.
Leveraging Experience for Success in Logistics Space
With a significant portion of our current 33 million square foot portfolio leased to 3PL providers, Sealy & Company is poised to capitalize on the escalating demand for logistics space. Recognizing the pivotal role of 3PLs in modern supply chains, we are well-positioned to leverage our depth of experience for not only our success but also the success of our 3PL tenants. As the logistics landscape evolves, Sealy remains focused on its mission to deliver value and continue to navigate the dynamic realm of industrial real estate with unwavering confidence and innovative strategies.
For more news and information regarding Sealy & Company, please visit the company’s website at www.Sealynet.com.
About Sealy & Company
Sealy & Company, a fully-integrated commercial real estate investment, and operating company, is a recognized leader in acquiring, developing, and redeveloping regional distribution warehouse, industrial/flex, and other commercial properties. Sealy provides a full-service platform for high-net-worth individuals and institutional investors through our development, management, and brokerage divisions.Sealy & Company has an exceptional team of over 100 employees, located in five offices, with corporate offices in Dallas, TX and Shreveport, LA.