The Clear Advantage: Benefits of 40-Foot Clear Height

Q3 2023 Market Report

The Clear Advantage

The Clear Advantage:

Benefits of the 40-Foot Clear Height


Expanding on our recent infographic, let’s delve deeper into the industrial developments taking place across the Greater Golden Horseshoe and explore the rationale behind their 40-foot clear-height design.

The surge in e-commerce during the pandemic highlighted a crucial need for expanded warehousing space across diverse sectors. As businesses recognized this demand, industrial spaces were rapidly leased or sold. Today, the industrial market has less than 1% vacancy, leaving limited options available. Additionally, the available spaces typically offer lower clear heights ranging from 16 to 24 feet.

But why should you pay attention to higher clear heights and their advantages? Consider a warehousing facility operating with a 70% utilization rate. By opting for a 40-foot clear height, you can actually save an estimated $120,000 annually on your lease. While buildings with higher clear-heights may carry a higher upfront cost, the cost per cubic foot of storage is significantly lower. This presents tenants with two options: lease smaller spaces with higher ceilings (reducing yearly rent expenses) or lease the same-sized space with higher ceilings, enabling more efficient operations at a lower cost per cubic foot.

By capitalizing on the advantages of higher clear heights, businesses can optimize their warehousing strategy, enhance cost-efficiency, and adapt to the evolving demands of the modern market.

Advantage of 20' Clear Height
Advantage of 30' Clear Height - Industrial Real Estate Tips
Advantage of 40' Clear Height - Industrial Real Estate Tips

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