"The growth in the size of logistics service providers plays an important role in the dynamics of the logistics real estate market," said Jim Orsel of the Logistics & Industrial team. "Demand for larger distribution centers will, given the lack of available land at traditional locations, lead to new logistics hotspots."

For example, DHL Supply Chain develops a new distribution center of 23,000 m² at the logistics business park Het Klooster in Nieuwegein. This trend also applies to a location like Born compared to Venlo. In contrast to Utrecht, Venlo still has some available land to be developed.

The initial returns on logistics hotspots dropped further in 2016, and this trend is expected to continue. In addition, the differences between locations are becoming smaller. The yields range from 5.3% in Tilburg to 5.9% in Amsterdam. Meanwhile, returns on other locations outside of the original hotspots are also declining.

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