Back to Basics: 4 Opportunities for Industrial Real Estate Amid Coronavirus Spread
Because of the global spread of COVID-19, companies everywhere are facing an uncertain future. Coronavirus is hitting every industry in different ways, and it’s still too early to tell exactly what the long-term effects this virus will have on the economy going forward. The industrial real market is facing a particularly big obstacle as the development projects dry up. While it may feel like a dry period for the industrial real estate market, there are ways to navigate these uncertain times. Below, we have 4 opportunities for the industrial real estate space during the coronavirus crisis.
Virtual Property Tours
Virtual tours were already a popular tool amongst real estate agents, but now these tours have become even more valuable. While real estate agents can’t physically tour an industrial space with their clients, they can give in-depth virtual tours of facilities that are currently on the market. Clients may not be in a buying mood at the moment, but by utilizing virtual tours, agents can generate enough interest for clients to come back after the economy has improved. If you are showing a warehousing space, the client might be in a position to buy after the virtual tour.
Increased Demand for Warehousing Space
Retailers are suffering in the COVID-19 pandemic. Because of the retail disruption that COVID-19 has caused, they will be looking for extra space to keep a greater stock of their inventory. While new warehouse development projects aren’t making any progress, agents need to stress the limited availability of the current warehousing space for retailers. Warehousing services are going to be the hottest ticket item as consumers continue to clean retailers out.
New Supply Chain Avenues
Supply chains are facing major disruptions as well, especially if companies have relied on China for their shipping needs. Supply chain disruptions will drive companies to find other solutions in other countries, which could bring that revenue back to the United States. There is a heightened focus around stimulating the US economy right now, if companies can find US-based supply chain solutions, it will make a huge impact.
Online Networking
While the majority of the country is self-isolating, industrial real estate agents will need to be more creative in how they generate leads. There’s no better time than now to commit to networking through online channels to build relationships with potential customers. Build the relationships now so that you can convert them to customers later. At some point, the pandemic will end. If you have a group of contacts waiting for you once the economy improves, you have a better chance of converting a sale in the future.