Coming in From the Cold: Expect More Spec Development in the Freezer/Cooler Market
The pandemic has produced two forces pressing on the demand for cold storage real estate.
On the positive side, most experts believe that food and medicine are going to enter the direct-to-consumer supply chain at greater levels than ever before, and those products will need conditioned way stations. However, even as restaurants begin to reopen, they will serve a fraction of their typical capacity and many will close by the end of the year, depressing demand for cold storage space.
On paper, these seem like opposing forces that will limit any growth in the sector. But while there will likely be disruption in the food industry over the next six to 12 months, people still have to eat. By whatever method consumers receive their food, along the way it will have to pass through a cold storage facility.