IPF News

IPF Commissions Investigation of Logistics Operators and Impact on Investment Performance

13 Dec 2018

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Logistics has experienced a transformation in the occupational requirements of operators as the nature of demand has changed, facilitated by an increase in internet shopping as an alternative means of purchasing goods. What does this mean for investment performance?

The IPF Research Programme (2015-2018) has commissioned Darren Hall of Scoptima, a supply chain consultant, and Real Estate Strategies, led by Malcolm Frodsham, to consider the implications for investors in the logistics sector over the next three to five years.
The research will examine the most influential trends that have emerged in recent years, as well as current advances in technology and how, alongside changing consumer preferences, these are affecting the way in which occupiers use and commit to real estate and what this may mean for pricing and returns.

Asli Ball, Senior Vice President at GIC Real Estate, who is chairing the Project Steering Group (PSG) that will oversee the research, commented: “Many investors have been increasing their allocations to logistics real estate in recent years, as the sector has been attracting more attention due to its strong performance. This research project is set to provide new insights for investors on structural trends affecting logistics demand and their impact on portfolio decisions.”

Other members of the PSG comprise Paul Makin, Tilstone, Stefan Wundrak TH Real Estate, Stephanie McMahon, BNP Paribas Real Estate, and Tessa English, JLL.

The report is due for publication in the spring of 2019.