Design-Build Market Experiences Uptick in Warehouse, Distribution Projects

Construction in the warehouse/distribution center market is predicted to reach $53 billion this year, up 1400% since 2010.

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Construction in the warehouse/distribution center market is predicted to reach $53 billion this year, up 1400% since 2010 and representing over one-third (36%) of the entire U.S. commercial construction sector this year, according to Dodge Data & Analytics in partnership with LiftMaster.

"Managing a warehouse with multiple access points and loading docks can be a stressful and demanding job; any inefficiencies can result in increased expenses or safety issues. LiftMaster has installed connected gates, doors and docks and myQ Facility and Dock Management software within warehouse/distribution centers across the United States. We have seen firsthand how our cloud-based solutions have provided warehouse managers with an easier way to monitor warehouse doors and docks and collect real-time insight around daily operations, enabling them to make smarter, data-driven decisions," says Jenny Lytle, general manager, commercial emerging business, LiftMaster.

From BusinessWire:

  • Driven by strong consumer demand in the economy and the explosion of e-commerce retailing, these facilities are deploying sophisticated technologies to optimize performance and respond to changing demands. In addition, their around-the-clock operations require increasing levels of energy, security and safety management.
  • Investments are driven by the need for flexibility to accommodate higher volumes and changing business models.
  • Facilities are increasingly close to urban centers to support rapid delivery expectations from consumers.
  • 77% of respondents report automation of operational and handling processes at loading docks on their recent projects, with as many as 88% citing use of one of the four specific systems studied.
  • Roughly 60-82% of respondents report installation of data-capturing smart controls, A/V and light communications and security and access control/tracking systems on their recent projects.
  • All regions report increases in a wide variety of employee amenities and 88% of respondents say owners place a high priority on employee safety when planning their facilities.
  • Over two-thirds of owners (68%) are interested in creating zero-carbon facilities
  • Respondents report using technologies such as building information modeling (BIM), software to model energy use and software to simulate operations in the facility to be built during the design and construction process.

"Warehouses were once seen as a quiet backwater in the overall commercial construction sector," says Steve Jones, senior director of industry insights at Dodge Construction Network. "But the market has literally exploded in the past few years, and these facilities are becoming increasingly complex and sophisticated. We are glad to have the opportunity to explore this in depth and hope the report raises industry awareness and expertise around these important elements of our economy."

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