With one click, consumers can order whatever they want and have it delivered to their homes. It’s no secret that e-commerce has been changing the way that consumers shop, but it’s also re-shaping the supply chain as well. As a result, shippers are now searching for additional warehouse space to keep up with increasing orders. What better place for them to establish roots for their supply chain than in the Garden State?
Why New Jersey?
New Jersey turned into a prime warehousing hub for numerous reasons. For starters, the Garden State is within a 24-hour drive of 40 percent of the entire U.S. population. It offers a robust transportation infrastructure that includes the New Jersey Turnpike and the Port of Newark-Elizabeth, the second-busiest seaport in North America. The recent raising of the Bayonne Bridge made it possible for the port to accept the largest class of cargo ships in the world, which has resulted in increased demand for warehouse space to keep up with larger imports.1 In addition, New Jersey is the densest state by population in the U.S., which provides a large pool of available employees. Located between large consumer markets such as New York City and Pennsylvania, New Jersey’s infrastructure is well suited for transit and its key advantage lives up to the old real estate adage of “location, location, location.”2
More businesses are establishing in or relocating to New Jersey for their warehousing and distribution needs, and this trend shows no signs of stopping. Companies such as Amazon have opened more than five million square feet of warehousing and distribution space in New Jersey, and have plans to open an additional three warehouses later this year and one next year.3 Employing more than 13,000 full-time employees in New Jersey, Amazon is on track to become one of the state’s largest employers. As a whole, there is a total of nine million square feet of warehouse and distribution space under construction right now in the Garden State, but for those in need of immediate capacity, vacancy is low.4 More than 50 percent of sites currently under construction are pre-leased due to the lack of existing options.5 With this being the case, it has become vital for shippers, especially e-commerce companies and retailers, to partner with 3PLs that can provide them with warehousing and distribution space to meet their supply chain needs. Whether leveraging existing warehouses or constructing new facilities to meet custom requirements, 3PLs can provide space specifically tailored for any supply chain. From fast-paced automated e-commerce facilities to temperature-controlled sites, the wide range of solutions provided by 3PLs is unrivaled.
Garden State or Warehouse State?
With e-commerce continuing to transform the industry landscape, it has become evident that the Garden State is a cultivable location for companies to plant their warehouses and distribution centers. With over a billion square feet of warehouses statewide, New Jersey’s concentration is now third behind Southern California and Chicago, Illinois, and continues to grow.6 With expansion showing no signs of slowing down, construction on schedule to reach historical highs, and experts predicting continued growth, suppliers should be confident in planting their warehouses and distribution centers in the Garden State.7