The Warehouse of the Future: The Impact of Automation on Industrial Assets

The impact of warehouse automation on operational efficiencies is well documented; however, the current and potential future impacts on real estate from a design, spatial, and economic perspective remains to be explored. We undertake a qualitative approach, leveraging data from industrial developers, supply chain operators, and robotic firms to provide context for current trends and uncover insights regarding how the technology will influence these assets in the future. Contrary to what has often been assumed, the rise of automation in warehouses presents both headwinds and tailwinds for the asset class as a whole. Automation in warehouses can increase the value of new warehouse development and offset land supply constraints by more fully utilizing the cube of a building to maximize throughput. Alternatively, solving for density and maximizing throughout could mitigate operators’ needs for space, countering increases in valuation at a macro-level for the asset class.

Name thesis:degree_name

Master

Department dc:contributor.department

Massachusetts Institute of Technology. Center for Real Estate. Program in Real Estate Development.

Grantor dc:publisher

Massachusetts Institute of Technology

Year dc:date.issued

2023

Author dc:creator

• Nuckel, Reilly J.

Advisor dc:contributor.advisor

• Duarte, Fabio

Statement dc:rights

• In Copyright - Educational Use Permitted
• Copyright retained by author(s)

Licence dc:rights.uri

• https://rightsstatements.org/page/InC-EDU/1.0/

Handle dc:identifier.uri

https://hdl.handle.net/1721.1/151540

OAI identifier oai:identifier

oai:dspace.mit.edu:1721.1/151540