Abstract
The spatial mismatch between warehouse locations and urban freight demand mainly driven by logistics sprawl can have negative environmental impacts, due to the increase in average trucking distances. This study investigated the spatial dimension of warehouse rent determinants identifying the regional specifics of supply and demand of warehouse facilities and services. Based on the case of the Seoul Metropolitan Area in South Korea, spatial autoregressive regression (SAR) and mixed geographically weighted regression (MGWR) models were developed to explain the spatial stationary and non-stationary relationship between warehouse rent and the explanatory variables, including the transactional characteristics of the rental contracts, physical characteristics of the buildings, location factors, and various warehousing services. The MGWR results identified the distance to the nearest highway interchange, repackaging service, and built-in ramps as globally fixed variables and contract floor space, total building floor space, building age, and land price as locally varying variables. The results of this study allowed us to provide meaningful insights into the sustainable development of urban logistics facilities through a better understanding of the interaction between logistics activities, transportation infrastructure, and land use.
Highlights
Warehouses match product availability to customer orders by storing inventory over time, acting as a buffer between supply and demand
Sakai et al [6,8] analyzed the change of spatial distribution of logistics facilities between 1980 and 2003 based on the Tokyo Metropolitan Freight Survey (TMFS) data and stressed the importance of local policies to assure the adequate supply of industrial land for logistics facilities in urban areas
This study investigated the spatial dimension of warehouse rent determinants identifying the regional specifics of supply and demand of warehouse facilities and services
Summary
Warehouses match product availability to customer orders by storing inventory over time, acting as a buffer between supply and demand. Freight activities in inner urban areas are increasing—mainly driven by the growth of online sales and the increasing need for quick order fulfillment [3,5]. Such mismatch between logistics land use and freight activities can have negative environmental impacts, such as an increase in traffic congestion and greenhouse gas emissions, due to an increase in average trucking distances [4]. To provide effective policy measures to mitigate the negative environmental impacts of logistic sprawl, it is necessary to understand the regional specifics of the supply and demand relationship of warehouses in the corresponding metropolitan area [6].
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