Monday, December 22, 2014
FAIRFIELD-SUISUN, CALIFORNIA
99 CENTS

Forum highlights e-commerce industrial space

The Northern California Chapter of Certified Commercial Investment Member hosted its first broker forum of 2014 this week in Benicia.

The organization is a certification recognizing professionals who specialize in commercial and investment real estate. The forum provided an overview of the Solano County and Napa County commercial real estate markets and gave landlords, developers, brokers, city and county officials a chance to learn “what is hot” and “what is not” in Solano and Napa.

Here are some of our thoughts from the forum.

Kudos to Benicia for accommodating the event in the city-owned historic Clocktower building. It’s an interesting contrast when folks gather to talk mainly about “new industrial building development” while seated in a charming building constructed in 1859 from Benicia sandstone.

The forum’s first speaker, Garrick Brown, is the research director for Cassidy Turley Commercial Real Estate Services. He noted that today’s industrial users prefer new buildings because older industrial buildings can’t accommodate their needs. Brown further said that the current surge in demand for industrial space on a national level is primarily driven by e-commerce fulfillment centers for companies such as Amazon. The U.S. has an industrial inventory of more than 20 billion square feet. Amazon alone occupies more than 56 million square feet of industrial distribution space and hopes to increase its total to more than 90 million square feet within the next few years.

In 2013, more than 137 million square feet of industrial space was absorbed on a national level. This year is projected to be another banner year for the national industrial absorption trend line, with growth projected to cover more than 150 million square feet. Solano County has approximately 27 million total square feet of industrial space and Napa County has approximately 12 million square feet.

While many traditional brick-and-mortar stores are reducing their footprints, the need for e-commerce support infrastructure is growing. Even if one views the modern marketplace as a war between the “bricks” and the “clicks,” the most Web-dependent e-tailer still needs industrial space and well-located communities that can provide modern buildings will benefit from this growing market.

Large-scale buildings for distribution and warehousing are not new to the Fairfield market. The former Breuners’ Furniture Warehouse (aka Fibrebond) is still a Fairfield landmark, Meyer continues to operate its distribution center off Highway 12 and our readers may recall the 1 million-square-foot distribution center built for glass bottler Saint-Gobain Containers in the Tolenas Industrial Park near Travis. These were specialized buildings – would they be “new” enough to be suitable for the e-commerce distributors now dominating the market?

In addition to e-commerce, Brown noted that demand for industrial space in Solano County has been recently driven by the wine industry – so the Saint-Gobain building should be safe for now. Fairfield’s close proximity to Napa has benefited the local marketplace for industrial development. Demand for space to support the wine industry and allied specialty food products has exploded in the past couple of years. Wine is certainly in the “what’s hot” category today, and developers agree the 1 million square feet of flexible distribution space under construction on Cordelia Road is targeted to wine and food distributors who need access to Napa and Sonoma counties.

Brown is a very informative presenter and collects a lot of information about new development activity for retail, industrial and other sectors. If you like reading about what’s happening in any of those sectors, you might want to subscribe to his Bay Area Research Rant and get on his mailing list at Garrick.Brown@Cassidyturley.com.

U.S. Bank was also a presenter at the forum and touted its ability to provide loans for industrial projects as well as other business loans. GO-Biz, the state of California’s economic development arm, also presented at the forum and provided a wealth of information about new programs available to California businesses. The GO-Biz information included the California Competes Tax Credit program and the highly regarded sales and use tax exemption program available July 1, 2014. More information on these programs can be found at www.business.ca.gov.

The economic development divisions for the cities of Fairfield, Napa and Benicia also gave presentations at the forum, with each hyping why their city would be the place to invest. Of course we are biased about the benefits of investing in Fairfield, but this event gave attendees an excellent overview of the entire regional market and what is happening in local cities. The forum wrapped up with the panel of experts answering questions about the future of local industrial markets.

For those interested in ebbs and flows of the real estate market, the Northern California Chapter of CCIM Commercial Real Estate Market Forum is certainly worth attending each year. It allows the key players in the marketplace an opportunity to promote services, facilities and opportunities.

Economic Notes is an update from Fairfield City Hall written by Brian Miller and Karl Dumas of the Fairfield Planning and Development Department. Reach them at 428-7461 or email at kdumas@fairfield.ca.gov or bkmiller@fairfield.ca.gov.

Brian Miller and Karl Dumas

LEAVE A COMMENT

Discussion | No comments

The Daily Republic does not necessarily condone the comments here, nor does it review every post. Read our full policy

.

Solano News

Christmas comes early to San Marco Street park

By Ryan McCarthy | From Page: A1, 2 Comments | Gallery

 
Travis squadron delivers Christmas gifts to East Tabor

By Ryan McCarthy | From Page: A1 | Gallery

 
 
Multiple car accident blocks I-80 in Vacaville

By Glen Faison | From Page: A3, 2 Comments | Gallery

 
 
 
Last-minute shopping at Vacaville Premium Outlets

By Daily Republic staff | From Page: A4, 1 Comment | Gallery

Kitchen fire dislocates family for Christmas

By Susan Hiland | From Page: A4, 1 Comment | Gallery

 
Famous Creations’ toy drive and cupcake sale

By Daily Republic staff | From Page: A4 | Gallery

Fairfield police log: Dec. 20, 2014

By Susan Hiland | From Page: A9

 
Suisun City police log: Dec. 20, 2014

By Susan Hiland | From Page: A9

Weather for Dec. 22, 2014

By Daily Republic | From Page: B10

 
.

US / World

Killer of 2 NYC officers had long criminal history

By The Associated Press | From Page: A1, 3 Comments

 
Killings of 2 New York officers trigger backlash

By The Associated Press | From Page: A1, 6 Comments

California puzzles over safety of driverless cars

By The Associated Press | From Page: A1, 1 Comment

 
Timeline of events before and after NY cop deaths

By The Associated Press | From Page: A1

A look at the 2 NYC officers killed in ambush

By The Associated Press | From Page: A1

 
Exit poll: Ex-regime official is Tunisia’s new president

By The Associated Press | From Page: A5

 
Pakistan makes arrests in Taliban school carnage

By The Associated Press | From Page: A5

 
Tent city sprouts in shadow of downtown Detroit

By The Associated Press | From Page: A5

US mulls putting NKorea on terrorism sponsor list

By The Associated Press | From Page: A5

 
Satanic Temple puts up display at Michigan Capitol

By The Associated Press | From Page: A5, 3 Comments

Australian woman charged with murder of 8 children

By The Associated Press | From Page: A5

 
.

Opinion

Faust and the 2015 federal budget

By Mike Kirchubel | From Page: A8, 13 Comments

 
Obama, surgeon general still losing to NRA

By Francis Wilkinson | From Page: A8, 3 Comments

Let the music begin

By Colleen Britton | From Page: A8, 1 Comment

 
Editorial Cartoon: Dec. 22, 2014

By Daily Republic Syndicated Content | From Page: A8

 
.

Living

Community Calendar: Dec. 22, 2014

By Susan Hiland | From Page: A2

 
Today in History: Dec. 22, 2014

By The Associated Press | From Page: A2

Horoscopes: Dec. 23, 2014

By Holiday Mathis | From Page: B5

 
Horoscopes: Dec. 22, 2014

By Holiday Mathis | From Page: A7

 
.

Entertainment

TVGrid Dec 22

By Daily Republic Syndicated Content | From Page: B6

 
‘Hobbit’ goes out on top with $90.6 million 5-day debut

By The Associated Press | From Page: B7

Good news from Tom Brokaw: His cancer is in remission

By The Associated Press | From Page: B7

 
Review: ‘The Interview’ deserves to be seen

By Jake Coyle | From Page: B7

Happy day: Elton John, David Furnish marry in England

By The Associated Press | From Page: B7

 
TVGrid Dec 23

By Daily Republic Syndicated Content | From Page: B7

.

Sports

Steelers, Packers win, move into playoffs

By The Associated Press | From Page: B1 | Gallery

 
Raiders knock Bills out of playoffs with 26-24 win

By The Associated Press | From Page: B1 | Gallery

Kings snap 5-game losing skid, beat Lakers 108-101

By The Associated Press | From Page: B1 | Gallery

 
Burns gives Sharks late-night win over Blues in OT

By The Associated Press | From Page: B1

The Week Ahead: Not much of a break for Christmas

By Paul Farmer | From Page: B1

 
Super-G crash makes Vonn wait in bid for record

By The Associated Press | From Page: B2

NFL Roundup: Cowboys end 4-year drought, make playoffs

By The Associated Press | From Page: B2 | Gallery

 
7 hurt when lightning strikes near Tampa Bay game

By The Associated Press | From Page: B2

India’s Arjun Atwal wins Dubai Open

By The Associated Press | From Page: B2

 
Documents: FSU QB Winston cleared in conduct hearing

By The Associated Press | From Page: B2

.

Business

Survey: US gas prices fall 25 cents per gallon

By The Associated Press | From Page: B6

 
US companies eager to embrace Cuba face hurdles

By The Associated Press | From Page: B6

.

Obituaries

Marian Kay Zutz

By Nancy Green | From Page: A4

 
Bart Ferro

By Nancy Green | From Page: A4

.

Comics

B.C. Dec 23

By Daily Republic Syndicated Content | From Page: B4

 
Wizard of Id Dec 23

By Daily Republic Syndicated Content | From Page: B4

Baby Blues Dec 23

By Daily Republic Syndicated Content | From Page: B4

 
Zits Dec 23

By Daily Republic Syndicated Content | From Page: B4

Get Fuzzy Dec 23

By Daily Republic Syndicated Content | From Page: B4

 
Pickles Dec 23

By Daily Republic Syndicated Content | From Page: B4

Rose is Rose Dec 23

By Daily Republic Syndicated Content | From Page: B4

 
Beetle Bailey Dec 23

By Daily Republic Syndicated Content | From Page: B4

Peanuts Dec 23

By Daily Republic Syndicated Content | From Page: B4

 
Garfield Dec 23

By Daily Republic Syndicated Content | From Page: B4

For Better or Worse Dec 23

By Daily Republic Syndicated Content | From Page: B4

 
Baldo Dec 23

By Daily Republic Syndicated Content | From Page: B4

Blondie Dec 23

By Daily Republic Syndicated Content | From Page: B4

 
Dilbert Dec 23

By Daily Republic Syndicated Content | From Page: B4

Frank and Ernest Dec 23

By Daily Republic Syndicated Content | From Page: B4

 
Sally Forth Dec 23

By Daily Republic Syndicated Content | From Page: B4

Bridge Dec 23

By Daily Republic Syndicated Content | From Page: B5

 
Word Sleuth Dec 23

By Daily Republic Syndicated Content | From Page: B5

Crossword Dec 23

By Daily Republic Syndicated Content | From Page: B5

 
Cryptoquote Dec 23

By Daily Republic Syndicated Content | From Page: B5

Sudoku Dec 23

By Daily Republic Syndicated Content | From Page: B5

 
Rose is Rose Dec 22

By Daily Republic Syndicated Content | From Page: A6

Frank and Ernest Dec 22

By Daily Republic Syndicated Content | From Page: A6

 
Blondie Dec 22

By Daily Republic Syndicated Content | From Page: A6

Beetle Bailey Dec 22

By Daily Republic Syndicated Content | From Page: A6

 
Garfield Dec 22

By Daily Republic Syndicated Content | From Page: A6

B.C. Dec 22

By Daily Republic Syndicated Content | From Page: A6

 
Wizard of Id Dec 22

By Daily Republic Syndicated Content | From Page: A6

For Better or Worse Dec 22

By Daily Republic Syndicated Content | From Page: A6

 
Get Fuzzy Dec 22

By Daily Republic Syndicated Content | From Page: A6

Baby Blues Dec 22

By Daily Republic Syndicated Content | From Page: A6

 
Baldo Dec 22

By Daily Republic Syndicated Content | From Page: A6

Zits Dec 22

By Daily Republic Syndicated Content | From Page: A6

 
Peanuts Dec 22

By Daily Republic Syndicated Content | From Page: A6

Dilbert Dec 22

By Daily Republic Syndicated Content | From Page: A6

 
Sally Forth Dec 22

By Daily Republic Syndicated Content | From Page: A6

Pickles Dec 22

By Daily Republic Syndicated Content | From Page: A6

 
Bridge Dec 22

By Daily Republic Syndicated Content | From Page: A7

Word Sleuth Dec 22

By Daily Republic Syndicated Content | From Page: A7

 
Crossword Dec 22

By Daily Republic Syndicated Content | From Page: A7

Sudoku Dec 22

By Daily Republic Syndicated Content | From Page: A7

 
Cryptoquote Dec 22

By Daily Republic Syndicated Content | From Page: A7