Keeping Up With the Ever-evolving Industrial Real Estate Marketplace I ndustrial lines of business in the real estate services industry often only address the two most transparent issues – how big is the space, and how much does it cost? This approach neglects to account for how efficient a particular property would be on an operating cost per sq. ft. basis, and how the space fits into the broader business strategy of the user.    To respond to that change, the industrial group at CB Richard Ellis has implemented an approach that meets the needs of industrial clients in ways that keep us ahead of both the curve and our competitors.    We see the "deal" as one piece of a bigger puzzle. In today's industrial market, simply paying the rent is not the most important component in a client's decision- making matrix. Of equal or greater concern are labor costs and availability, port access and even foreign trade zone considerations, to name a few.    It is essential for any participant in the industrial marketplace – be it an investor, tenant or developer – to approach their requirements with a 360- degree view of all the issues involved in a site decision, and at CBRE we offer our clients the entire spectrum of our platform. How does that translate day in and day out?    In the retail sector we've seen an increase in the demand by our clients to more adroitly integrate the location of distribution facilities with retail outlets. To meet this requirement, we routinely integrate our industrial and retail professionals to determine the most effective locations for a retailer's distribution center as well as proximity to its latest "big box" location.    Another business area that demands a "full picture" approach is the food sector. We were recently selected to assist a major multinational agri- business, and the client was not only impressed with our knowledge of industrial markets, but also the industry- specific expertise we brought to the table, including knowledge of food processing, storage and refrigeration.    In retail, food and virtually every other industrial sector, another key issue is speed to market. Today's industrial marketplace demands an understanding of every step in the global supply chain, from products made in a Shanghai factory, to a cargo container arriving at the port of Los Angeles, to the delivery via rail to an intermodal facility in the Midwest. All of which underscores the need not only for industry expertise, but a true understanding of international business.    In CBRE's case, we have set a high premium on working across borders to help our clients. Those activities range from constant communication between our United States and European industrial groups, to an ongoing business pipeline between our North American offices, to expanded collaboration with our colleagues in emerging Asian markets.    What does it all boil down to? Clearly, industrial service providers need to know more than just square footage or the vacancy rate. CBRE recognizes that being a premier service provider means not only understanding our clients' business, but delivering the right array of capabilities to meet their business goals. – Jim Dieter, Executive Managing Director, North American Industrial Group CB Richard Ellis