• Demand for logistics facilities showed significant growth during 2019. Net absorption of Large Multi-Tenant (LMT) properties in the Greater Tokyo Area exceeded 700,000 tsubo in 2019. E-commerce has emerged as a particularly strong driver of demand for logistics facilities. Looking at lease contracts or pre-leases with tenants in 2019, the e-commerce share increased to 30%.
  • The recent restrictions on leaving one’s home to prevent the spread of COVID-19 are likely to accelerate the use of e-commerce in total and for a wider range of food products.  E-commerce is likely to further expand its presence as the demand driver of logistics facilities.