11 December 2019

Values for cold-storage warehouses in the U.S. are drawing closer to those of their traditional dry-storage counterparts, indicating increased investor interest in the sector despite the unique challenges of owning and operating cold-storage facilities.

This installment of CBRE’s Food on Demand series details the opportunities and challenges of cold-storage investment. The sector will see strong demand from growth in online grocery sales, but it also faces challenges including scarcity of available assets, complexity of building and operating the facilities, expensive construction and outdated U.S. transportation infrastructure.

Most of these challenges likely can be addressed as more capital and specialized builders and developers enter the sector.

Download Food on Demand: Capital Markets Warm Up to Cold Storage to explore our in-depth assessment of the opportunities and challenges of cold-storage investment.

Related Research

Food on Demand Series: Cold Storage Development Opportunities Heat Up

This installment of CBRE’s Food on Demand series details the complexities of constructing cold storage warehouses and anticipated shifts in the market to accommodate increased activity.

Food on Demand Series: Cold Storage Logistics Unpacked

This installment of CBRE’s three-part industrial & logistics-focused “Food on Demand” series explores the cold storage industry’s impact on logistics real estate and outlines the drivers of cold storage demand, its major players, inventory estimates and geographical distribution.

More from CBRE Industrial & Logistics

Industrial & Logistics Research

Food Facilities Practice

Food & Beverage Series