The Green Transformation of Logistics Real Estate

There is a growing emphasis on sustainability and environmental footprint in the transportation and logistics industries worldwide, with nearly 70% of companies from these sectors in the Fortune 500 having set a net zero carbon target, and around half aiming to achieve this objective by 2030 or earlier. This growing trend is also influencing logistics occupiers’ real estate decision-making worldwide.

In Asia Pacific, an increasing number of logistics occupiers are seeking more environmentally friendly warehouses and distribution centres. CBRE’s June 2024 Asia Pacific Leasing Market Sentiment Index found that energy-related features, particularly renewable energy supply and energy efficiency management, are most preferred. Many survey respondents indicated that occupiers also have a preference for facilities that possess some form of green certification, and that provide charging infrastructure for electric vehicles.

With more occupiers embedding sustainability into their real estate strategy, landlords and investors must accelerate the greening of their Asia Pacific logistics portfolios. 

This Viewpoint explores occupiers’ most sought-after green features and explains how asset owners in the region should respond to rising demand for environmentally friendly logistics real estate.