Determining the warehouse needs of a tenant is a crucial responsibility for decision-makers of corporate real estate portfolios. Here are some factors that tenants should consider when leasing warehouse space:

1. Determine Your Commercial Industrial Space Needs: The standard for industrial spaces has long surpassed just accommodating storage needs. Tenants want to ensure their warehouse spaces are fully equipped with the features that will put them on top of their competition. Therefore, it is essential to identify the best approach to leasing warehouse space that aligns with your operational needs.
2. Calculate the Cost of Your Warehouse: Cost will be highly intertwined with a warehouse’s technological capability. There is a squeeze for the right properties as every tenant puts emphasis on premium, technologically capable facilities. Beyond property cost, there’s a lot of other factors to get right when dealing with warehouse rentals. From getting the right lease terms to the best timeline for move-in, becoming prepared is the only option you have to negotiate your optimal deal.
3. Use a Warehouse Calculator: If you already know the specifications of your company’s products, you can complete a warehouse space calculator to find out how much space you’ll need. By simply filling out a few fields, you can get a reliable estimate of what your specific warehousing needs will be. You can even enter the information for future storage to see what the space requirements will be before you actually need the space.

Warehouse space calculators are tools that help businesses estimate the amount of space they need to store their products. These calculators take into account various factors such as the size of the products, the number of pallets, and the stacking positions. By taking into account various factors such as the size of the products, the number of pallets, and the stacking positions, these calculators can provide a reliable estimate of what your specific warehousing needs will be. This can help businesses make informed decisions about leasing warehouse space and ensure that they have the space they need to store their products.

Warehouse Space Calculator

Efficient use of warehouse space is crucial for businesses to maximize their storage capacity. Here are some steps to measure and maximize warehouse storage efficiency:

1. Calculate the Storage Capacity of Your Warehouse: Before you can calculate your warehouse space efficiency, you need to know the total square feet of your facility. From this number, subtract the square feet dedicated to areas like offices, restrooms, and other non-storage areas. To determine your total storage capacity in cubic feet, multiply the remaining square feet by the warehouse’s clear height. This measurement is sometimes referred to as the warehouse’s “cube size.”

2. Measure Your Warehouse Capacity: The next metric you need to determine your warehouse capacity is the cube size of your inventory. This number includes all the racking areas where inventory is stored. Calculate the inventory cube size by multiplying the length and width of your racks by the height of the tallest load in each area. Add the cubic volume for each area together in order to determine the inventory cube size. Next, measure the footprints of each pallet rack and calculate their total vertical storage capacity. Multiply the total capacity of each rack by the total number of racks in the warehouse. This is the true size of your storage cube.

4. Maximize Your Warehouse Storage Efficiency: Ideal cube size use should be between 22 and 27 percent of your storage capacity. If your storage cube use is higher than 27 percent, you run the risk of high labor costs because workers will have to spend more time moving products around to access other products. To maximize your warehouse storage efficiency, consider implementing a warehouse management system (WMS) that can help you optimize your inventory placement and reduce the amount of time it takes to move products around.

If you require assistance with calculating the ideal warehouse space, please feel free to contact Synergy Real Estate Group, Corporate Advisory. Our team is always available to help you with your warehousing needs.