Fulfilled by Amazon (FBA) is built for speed, not storage. While it’s convenient for fast-moving products, Amazon’s warehouses are some of the most expensive places to store slow-turning inventory, or anything that doesn’t meet Amazon’s strict packaging and labeling requirements. Many brands use overflow storage outside of FBA to avoid these costs.

1. Products That Don’t Sell Fast

FBA charges long-term storage fees for inventory that doesn’t move. If products sit for more than 180 days, Amazon starts stacking extra charges on top of its already high monthly rates. To combat this, brands may store the following product types in third-party warehouses:

• Holiday or seasonal products (e.g., ornaments, themed apparel)
• Products with inconsistent demand (e.g., novelty items)
• SKUs that sell slowly but are still profitable (e.g., atypical sized apparel or uncommon colors)

These types of products can sit in a third-party warehouse until needed. Brands may send small batches into FBA based on real-time demand instead of paying for unused space.

2. Bundled Items or Products Not Prepped for FBA

Amazon doesn’t want to do your prep and if you make them, they charge heavily for it. If inventory shows up without the right labels, in non-compliant packaging, or as loose components, you’ll pay for the fix. Amazon expects everything to arrive in a ready-to-ship format. But not all inventory is “FBA-ready” out of the gate, including:

• Multi-item bundles that aren’t pre-assembled (e.g., skincare kits)
• Products that still need Amazon-compliant barcodes (e.g., products labeled with supplier SKUs instead of FBA barcodes)
• Items that need to be tested or inspected for quality control before shipment (e.g., electronics shipped in bulk).

This kind of prep is easier and cheaper to manage outside of Amazon, where you’re not paying for extra prep services.

3. Inventory That Exceeds Amazon’s Capacity Limits

Amazon limits how much of each product you can send to their facilities. Amazon uses a performance algorithm that looks at how quickly an item has sold in the past. If sales are slow or the product is new, you may get less space, regardless of how much inventory you have or plan to sell.

Example: A brand imports 10,000 units ahead of the holidays, but FBA only allows 4,000 in. The rest needs to go somewhere.

A third-party warehouse acts as a buffer. The brand stores the overflow and ships smaller loads to FBA as space opens up or thresholds increase.

4. Inventory for Other Sales Channels

Not all inventory belongs in Amazon’s system. If you sell on multiple channels, like your website, other marketplaces, or have a retail location, some inventory should stay out of FBA. Overflow warehouses let you manage inventory by channel with more control over how it’s packed, stored, and shipped. Product examples may include:

• Subscription boxes with custom inserts and tissue wrap that violate Amazon’s packaging rules
• Bundles sold through your website that don’t match FBA’s bundling or labeling requirements
• Packed inventory for retail stores that isn’t broken down into individual units for Amazon

Get Matched with an Overflow Warehouse

FBA is optimized for fast-moving, prepped inventory, not for holding inventory for any significant period. Brands that rely on Amazon alone often run into space limits, added fees, or shipping delays that could’ve been avoided. Overflow storage gives you more control and helps keep costs in check,

Need help finding a warehouse that can support your overflow strategy? Get matched with a vetted provider that fits your volume and prep needs.

The post Smart Brands Store Inventory Outside of FBA (and Why) first appeared on Warehousing and Fulfillment.

If you’re an international business shipping to the U.S. from abroad, returns can create more complexity than outbound shipping ever did. The problem isn’t accepting items back, it’s deciding whether to refund, resell, store, or recycle them. Should you consolidate returns and bulk ship them home? Offer refunds without return? Resell the item domestically? That’s where reverse logistics planning comes in.

1. Should the Item Be Returned?

• Start by defining a return threshold by product type or dollar amount. E.g., items under $20 might not be worth shipping back.
• If the product is unsellable or clearly damaged, issuing a refund or credit without return usually saves time and cost.
• Use return data to identify potential abuse, such as frequent returns from the same customer or repeat claims of missing or defective items and require the item to be sent back before issuing a refund, even if it wouldn’t normally be worth returning.
• Offer partial refunds or store credit when items fall into a gray area—like opened packaging or customer remorse, so you don’t absorb unnecessary shipping costs.
• Make sure your return decision logic is reflected in your policy page.

2. Where Should Returns Be Sent?

• A U.S. return address gives customers a place to send products without involving international shipping.
• If the return address is just for receiving, you can scan returned packages by order number and hold them in bulk until you’re ready to review or pick up the items.
• If the facility offers inspection, you can tag each item by condition and decide in real-time whether to resell, donate, discard, or ship back.
• Some warehouse partners offer return-only services where they scan the package, confirm receipt, and hold it until you decide what to do. This avoids paying for full fulfillment or restocking services you don’t need.
• If you need items inspected as they come in e.g., to prep them for resale or decide whether to discard, choose a return center or warehouse with basic quality control capabilities.

3. When and How to Consolidate Returns

• Consolidating returns into pallets or boxes reduces your shipping cost per item compared to one-off returns.
• Set a consistent review cadence (e.g., every two weeks) to evaluate when it’s worth exporting inventory or making reuse decisions domestically.
• Group returned items by product type or SKU when storing them, so they’re easier to scan and process when it’s time to take action.
• Choose a cheap shipping method for consolidated returns (DHL eCommerce, USPS Intl flat rate, or freight forwarding) to avoid overpaying for small volumes.
• If volume never hits your threshold, stop holding, switch to resale, liquidation, or recycling routes within the U.S.

4. Resell, Recycle, or Liquidate

• Check for visible damage or open packaging as a first step. This determines if something can be restocked or resold.
• If the item looks new or unused, reroute it to your domestic resale inventory and list it through your store.
• Items with minor damage or cosmetic flaws can often be salvaged through liquidation platforms or bundled for donation.
• Unsellable items should be recycled or discarded.
• Keep a tracking sheet that logs what action was taken per item so you can spot trends over time and refine your return criteria.

Build a Return Process You Can Actually Execute

Returned products take up space, time, and money. A clear, documented process lets you handle them without stopping to make case-by-case decisions every time. Once you know what qualifies for a refund, where returns go, and how you’ll deal with the inventory, you can move faster and get more value out of what comes back.

The post How to Handle U.S. Returns from Abroad first appeared on Warehousing and Fulfillment.

When an eCommerce brand outgrows its garage or in-house setup but isn’t ready to hand everything over to a 3PL, renting warehouse space becomes a practical middle ground. It lets you retain ownership while outsourcing fulfillment tasks to people you manage directly.

This setup comes with specific needs. You’re no longer packing orders yourself, but you’re still responsible for how they go out, how fast, how accurately, and at what cost. The space you rent should support this structure.

If you’re ready to level up but not ready to hand things off to a 3PL, here’s what to look for in a warehouse rental.

1. Control Over Fulfillment Without Full-Service Contracts

If your ecommerce business is transitioning from managing fulfillment in-house to using a dedicated warehouse space. That means you’re still overseeing how orders get packed and shipped, but you’re no longer doing it from your own facility. The warehouse you choose should give you control over who does the work and how it’s done. You shouldn’t be required to use the building’s staff, systems, or fulfillment processes if they aren’t compatible with how your business operates.

What to look for in a warehouse rental:

• A lease that lets you manage fulfillment in ways that are important to you, including hiring your own team and setting your own process.
• No rules that force you to use the facility’s staff or outside vendors tied to the landlord.
• Clear documentation on what responsibilities fall to you (like labor and equipment) and what the facility handles (like utilities or shared areas).

If you’re the type who wants to keep a close grip on how things run, whether it’s staffing, picking or packing, this setup gives you the control you’re looking for. You shouldn’t have to adapt your process to someone else’s structure to make the space work.

2. Lease Terms That Match Your Stage of Growth

The lease you sign should reflect where your business is now and where it might be six months from now. If you’re just moving out of your garage or first office, it’s hard to predict how quickly you’ll outgrow the space or shift how it’s used. Committing to a long-term lease too early can box you in, while only looking at short-term deals may force you to start the process anew.

Look for warehouse leases that:

• Start with a shorter commitment, so you’re not tied down before understanding how well the space supports your operation. Look for leases that offer 6 to 12 month terms.
• Allows for early termination or exit with reasonable notice if your space requirements shift or if the location proves inefficient.
• Has options for nearby or adjacent expansion, so you don’t need to restart your search when you’re ready to scale
• Doesn’t slow you down when you need to adjust headcount, shift schedules, or create additional roles to support your new fulfillment capabilities.

3. Carrier Access and Loading Setup

You don’t need a fancy dock, but you do need to know your carriers can come and go without issue. If your drivers can’t access the space consistently or the layout creates backups, shipments get delayed and costs go up. The warehouse configuration should support pickups and deliveries with the type of vehicles you’re actually using.

Look for warehouse setups that:

• Have a reliable track record with major carriers like UPS, FedEx, or USPS, so you’re not left managing late or missed pickups.
• Include a dock or drive-in setup that fits the kind of shipments you’re receiving, whether it’s daily small parcels or monthly shipments of pallets.
• Offer enough floor space around loading zones to keep packages moving without crowding your staging area.
• Accommodate the pickup and delivery windows your fulfillment team works around, so you’re not stuck rearranging schedules to better accommodate vendors.

4. Insurance That Matches How You Operate

Warehouse insurance is often considered “a box to check,” but not every policy fits the way eCommerce brands operate. If your coverage isn’t aligned with how inventory is handled, who’s accessing the space, or what kind of product is stored, you may end up uncovered when something goes wrong. Likewise, the facility’s policies may not extend to your business, which may lead to gaps in protection.

Before signing a lease:

• Confirm what your general liability and property insurance covers and whether it applies to third-party spaces.
• Ask what coverage, if any, the warehouse operator holds for tenants or stored goods.
• Make sure the facility’s layout, access, and use type don’t violate terms in your existing policy or create compliance gaps.

Waiting until after an incident to find out who’s liable, or what’s not covered, can lead to losses you can’t recover. Work through these details early so your coverage holds up when you need it.

5. Understand All Monthly Costs Before You Commit

For eCommerce brands, understanding your monthly warehouse costs is significant. These costs directly affect how you price, what you can spend on labor, and how aggressively you can reinvest in inventory. Many facilities promote a low base rent but leave out routine expenses like utilities, shared services, security, or technology. If you don’t ask the right questions, you’ll end up with a lease that looks affordable but costs much more at the end of the month.

Look for cost details that:

• Spell out the full monthly cost for rent, electricity, water, internet, etc., without hidden charges.
• List which party is responsible for services like janitorial, waste removal, pest control, and security.
• Break down common area maintenance (CAM) charges or building upkeep fees in plain terms
• Let you opt into additional services only when needed, not through pre-packaged add-ons you don’t use.

If you don’t know exactly what you’re paying for each month, it becomes harder to make confident decisions around hiring, inventory, and pricing. Costs that shift from month to month, or charges that show up without warning can throw off your entire budget. Every unaccounted fee reduces your ability to forecast accurately.

Know What You’re Signing Up For

In many ways your warehouse lease defines how you operate. It affects how your orders get out the doorY, how your staff works, and how costs stack up. If expectations aren’t clear, or terms leave room for confusion, you’ll feel it in delays, missed deliveries, or unexpected charges. Know what’s included, what’s restricted, and what it’ll take to keep your ecommerce business humming.

The post What eCommerce Brands Should Look for in a Warehouse Rental first appeared on Warehousing and Fulfillment.

Set the rent too high, and your space sits vacant. Price it too low, and you leave money on the table or attract tenants who don’t match the level of care, reliability, or long-term commitment you’re looking for. The lease amount should come from understanding how your property compares to others nearby, what’s leasing, what’s sitting, and what types of businesses are active in your market.

Here’s how to analyze market comparisons, vacancy rates, and property features to set a realistic, competitive rental price.

Base Your Price on Signed Leases, Not Advertised Rates

The prices you see on listing platforms or broker sites are often inflated. They reflect what landlords are hoping to get, not what tenants are actually agreeing to. To set a realistic price, you need to know what similar spaces have recently leased for and the nuances behind those deals. Short-term leases may come with a higher rate per square foot, while longer commitments may come with “discounts” that reduce the average monthly rent.

Where to find useful lease data:

• Ask commercial brokers if they’re willing to share anonymized lease data from comparable situations, but expect limited access unless there’s an existing relationship through prior interactions or a mutual benefit in sharing these details, like referrals, or reciprocal business.
• Check industrial and logistic market reports from brokerages like CBRE, JLL, or Colliers. Look for footnotes, charts, or commentary that reference prices. You won’t always find exact lease rates, reports may use trend data or leasing activity tied to variables like size by square footage, etc. All of which may be useful in your search.
• Use platforms like CoStar, LoopNet, or Crexi carefully. Advertised rates often reflect ideal terms, not what tenants actually agree to. Listings may stay live long after a deal is done. You may also encounter rates that only apply to specific units or lease lengths. Treat these platforms as a way to identify general pricing brackets among active listings, but not as a source of verified lease data.

Adjust Pricing Based on How the Space is Used

Square footage alone doesn’t determine value. A tenant may need dock doors for loading freight, or may prefer a drive-in “vehicle bay,” if they’re handling local deliveries. Ceiling height may only matter if the tenant plans to rack inventory or store oversized equipment. If the space has a standard door, low clearance, limited access, or an atypical configuration, that’s going to narrow your pool of tenants, and your pricing should reflect your physical space.

Use listing platforms like Crexi or LoopNet to find price ranges for spaces with similar features to yours.

Apply Space-Specific Details When Reviewing Market Comparisons:

Availability is projected to rise to 7.7% in 2025, matching pre-pandemic levels. That’s a shift from the low availability rates during the 2021 leasing surge, when annual volume hit over 1 billion square feet. That number refers to the total square footage of industrial space leased across the entire U.S. that year, not individual properties, but the combined volume of thousands of leases added together.

• Filter listings by features that match your own. This will help you compare price ranges on similar use cases, not similar square footage.
• For warehouse owners, that means pricing has to reflect increased competition. If your space doesn’t have in-demand features, or isn’t move-in ready, you’ll likely have to adjust your asking price or offer “incentives” to stay competitive.
• When asking brokers for market comparisons, be specific. Don’t ask about businesses that are looking for an available “10,000 sq ft.,” ask what business might need access to “high ceilings,” “docking doors,” etc.

Spaces with utility and fewer hurdles tend to justify stronger pricing. If your space lacks identifying features, you’ll need to reflect that in your price.

The Longer It Sits, the More Flexibility You Need

If your listing has been on the market for 60+ days without serious offers, you’re no longer pricing based solely on market comparisons, you’re dealing with the cost of time. Every month the space sits vacant, you’re missing out on income you could have collected, even at a slightly lower rate. A $1/sq ft discount that gets the space leased a month sooner may save you more than holding out.

Be Willing to Adjust

Pricing should not be fixed. If your space isn’t getting interest, revisit how it compares to other active listings, not only in size, but in features and condition. A small shift in price or terms can mean the difference between more downtime and getting your industrial property leased.

WarehousingAndFulfillment.com works directly with warehouse owners to help evaluate space and set informed pricing. If you’re unsure how your space stacks up or want feedback on your listing, we’re here to help.

The post How to Price a Warehouse Rental Based on Real Market Conditions first appeared on Warehousing and Fulfillment.

A vacant space is expensive… Here are some practical ways to connect with tenants who are looking to rent commercial or industrial spaces.

1. Ask People You Know First

Start with people you already know. Suppliers, local manufacturers, or even neighboring businesses who need or may know someone who needs space. A direct conversation with someone you know can move faster than any listing site. You might even consider contacting your local Chamber of Commerce or attending regular meetings.

2. Contact Local Businesses Based on How Your Space Functions

Don’t market the space as generic square footage or its “convenient location.” Focus on what makes it usable and consider contacting these businesses directly.

• If it’s a smaller building with parking and van access, local service companies might need it, like HVAC or pest control companies.
• If it’s mostly open inside with some shelves or racking, it could work for businesses that store and move chemical products, like a local cleaning company.
• If it’s near highways, companies that do regional deliveries might also be interested.

3. Look at Who’s Already Shipping Into Your Area

Some companies may move products through your region but don’t have a local warehouse. There are ways to find them, some tools and services help surface shipping activity by region, or you can ask around, delivery drivers in your area may have a sense of who’s moving volume in and out of the area regularly.

If a business is shipping into your area often, they might benefit from storing inventory nearby instead of paying to haul it every time. That’s your opening to start a conversation.

4. Offer Short-Term Space to Businesses With Temporary Needs

You don’t have to offer a long lease to make the space useful and profitable. Some brands only need temporary space. Consider reaching out to local businesses, including:

• Brands that rely on seasonal tourism
• Brands prepping for holiday surges
• Event vendors or pop-ups that need space for a few months

5. Offer Your Space as a Backup for Projects That Fall Behind

Sometimes companies plan to move into a new building or renovated facility but things get delayed. Construction timelines slip. Permits hit a snag. These businesses still need somewhere to operate. If you know a nearby project is running behind, reach out. Your space could be a short-term fallback or a long-term replacement if the delay drags on.

6. Build a Two-Way Overflow Arrangement With a 3PL

Sometimes your space sits empty. Sometimes a 3PL runs out of room. Instead of treating these as separate problems, set up a two-way arrangement: when they’re tight on space, you give them access to part of your building for overflow. When you’re in a bind, like needing to place a short-term tenant, they may return the favor.

These relationships aren’t formal partnerships, though they can be.. They’re based on trust and repetition. Help each other when overflow space is needed. Over time, it may become a steady source of leads.

7. Track Who Reaches Out and Why It Didn’t Work

Keep a basic log of everyone who contacts you about the space. Include their name, what kind of business they run, what they were looking for, and why they didn’t move forward. Maybe the space was too big, the ceiling was too low, or the lease term didn’t fit their plans.

This list becomes useful over time. Some of these contacts will need space again, and you’ll be able to follow up when you have something that fits bette

8. Offer a Flat Fee to Brokers Who Bring a Deal

You don’t need to sign a full listing agreement to get brokers involved. Let them know you’re offering a set payout say $1,000 to $2,000, if their lead signs a lease. This gives brokers an incentive to bring the right kind of tenant your way. It’s a low-effort way to expand your reach with someone else doing the heavy lifting for you.

9. Work With a Broker Who Handles Industrial Space

Not every broker understands how industrial deals work. Focus on those who represent tenants in warehousing, logistics, or manufacturing. They’re more likely to bring in the right kind of leads quickly.

10. List Your Industrial Property with Us

Industrial tenants move quickly, and they don’t waste time on listings that are hard to find, vague, or outdated. If your space isn’t clearly positioned, easy to evaluate, and visible in the right places, you’re likely being passed over. it’s about showing up where they’re already looking, with a clear offer that fits their needs.

List your warehouse on WarehousingAndFulfillment.com. We’re built to connect property owners with businesses searching for overflow storage and fulfillment-ready facilities. The goal is simple: make your industrial space easier to find by the right kind of tenants.

The post How to Lease Industrial Space: 10 Ways to Find Tenants first appeared on Warehousing and Fulfillment.

This resource is intended for e-commerce sellers comparing options for both domestic and international delivery. All information is carrier-agnostic and based purely on cost. The information below is presented without favor toward any specific carrier, focusing solely on identifying the lowest-cost shipping service.

Small Parcel Shipping Cheat Sheet

Lowest-Cost Shipping Methods by Weight Class

Shipping Consolidator Changes in 2025

With national parcel consolidators no longer an option, some regional consolidators have stepped in to fill the gap. These regional consolidators pass shipments between multiple local carriers to keep costs low. The extra handoffs extend delivery times. This setup is typically used by third-party logistics companies and high-volume brands. It’s not always practical for smaller retailers or low-volume shippers.

Final Tactics to Consider to Lower Small Parcel Shipping Costs

• Use smart shipping software to automatically downgrade from express to ground shipping when delivery times are unaffected, reducing costs without impacting speed.
• Leverage 3PL or freight aggregator rates to access lower shipping costs through consolidated volume, but assess their carrier agreements carefully for alignment with your needs.
• Fulfill orders from bicoastal warehouses to enable fast ground shipping nationwide, minimizing reliance on costly express services.

The post Lowest Cost Small Parcel Shipping Cheat Sheet (2025) first appeared on Warehousing and Fulfillment.

If you own a warehouse property then you know, an empty warehouse is costing you. This article explains how industrial property owners can reduce the time between tenants without wasting time or money on guesswork or costly upgrades.

1. Work With a Broker Who Has a Proven History Leasing Industrial Space

If you’re not already working with a real estate agent who handles industrial leases, start there. Industrial brokers are more likely to know who’s looking for space and what their requirements are. They may have prospects asking for specifics like 20,000 square feet of space or 24-foot ceilings. If your space matches these requirements, it’s more likely to get shown and leased right away.

What to do:

• Vet brokers based on industrial lease history, not personal referrals
• Ask if the broker is actively working with possible tenants
• Provide clear specs up front so they can act quickly

What gets in the way:

• Hiring someone you know instead of someone who knows how to move your space.

2. Get the Space Ready to Show Immediately

The building needs to be presented as move-in ready from the start. If it shows signs that work is still needed, such as non-working lights or leftover materials, it’s less likely to lease. Most tenants are working against deadlines and want to occupy the space without delay. Any uncertainty about timelines or functionality can push them toward another option.

Before listing the property, make sure the basics are already handled:

• Entryways should be clear, unobstructed, and easy to navigate
• Remove any remaining fixtures or built-ins that restrict use of the space
• Confirm ventilation, heating, or cooling systems power on and run without issue
• Floor stains, spills, or surface damage cleaned or patched
• All signage, markings, or materials tied to the previous tenant should be completely removed.

What causes delays:

• Spaces that feel like they’re still being turned over or that force tenants to imagine what’s missing instead of what’s possible.

3. Have Floor Plans, Specs, and Photos Ready to Send

When a prospect asks for a floor plan, ceiling height, or recent photos, they’re qualifying your space. If you’re not prepared to answer quickly, the opportunity may move on. Have everything saved in a digital folder that you can send within minutes, and a printed version (including photos) ready for in-person walkthroughs.

You should already have:

• A current floor plan with accurate square footage
• Ceiling height
• Dock and door counts
• A site map showing truck access and trailer parking, if relevant
• A basic spec sheet summarizing all key details
• Photos taken after the last tenant vacated (include in both digital and print packets)
• Both a digital folder (PDFs, images, spec sheet) and a printed packet ready to go

What gets in the way:

• Missing basic details like ceiling height or dock counts. Files labeled vaguely or spread across different devices. No printed version on hand during walkthroughs. These are the kinds of small gaps that ruin momentum and make the space harder to lease.

4. Use the Final 30 Days of the Lease to Prep

You already have the move-out date. Use those final 30 days to get ahead of common delays, small repairs, updated photos, and listing prep. Getting these handled before the space is vacant means you’re ready to show it immediately, instead of wasting time after the fact.

What you should be doing during the notice period:

• Walk the space with the tenant to confirm what’s being removed and flag any repairs
• Get minor repairs done before the tenant leaves, while the space is still accessible
• Schedule cleaning to take place immediately after move-out
• Prep your broker with updated specs, photos, availability, and showing instructions

What gets in the way:

• Don’t assume the tenant will leave the space clean, undamaged, or fully cleared out. If you don’t check before move-out, you risk delays dealing with repairs, trash, or removing unwanted items yourself.

5. If the Warehouse Sits Empty, Keep It Functional

If the space doesn’t lease right away, you still need to keep the building in working order. Vacant warehouses develop problems quickly. HVAC systems stop working, plumbing odors develop, lighting fails, and roof leaks go unnoticed. These issues are easy to prevent but expensive to deal with if left unattended for too long.

What you should be checking weekly:

• Run the HVAC system to confirm it turns on and cycles properly
• Flush toilets and run water in sinks and floor drains to prevent odor
• Inspect the roof and ceilings for signs of water damage
• Confirm lights, outlets, and the electrical panel are functioning
• Check all interior and exterior lighting, especially motion sensors and entry points
• Open and test all doors, including loading doors and main entrances
• Confirm the security system is armed and operating
• Walk the exterior, pick up trash, clear overgrowth, and remove any signs of neglect

Focus on What Actually Reduces Vacancy:

If you are a warehouse owner and are trying to cut downtime between warehouse tenants, here’s what actually matters:

1. A broker with active industrial leads who knows how to lease space like yours – this is your fastest path to occupancy
2. A warehouse space that’s fully cleared and functional before it’s listed – reduces drop-off from first impressions
3. Specs, floor plans, and photos ready to send as soon as someone shows interest – speeds up everything after the first inquiry
4. Using the final 30 days of the lease to prep the space, not waiting until after move-out – avoids last-minute repair delays, gives you time to handle prep without rushing.
5. Keeping the building maintained while it’s vacant so it’s ready when the next tenant is – avoids unnecessary delays and prevents the space from falling out of working condition

WarehousingAndFulfillment.com has helped over 64,000 companies connect with warehouse providers. Over nearly 20 years, we’ve evaluated more than 5,900 warehouses, collecting feedback on what tenants value most. List your warehouse with us to reach businesses actively searching for space.

The post How to Reduce Vacancy Rates for Industrial Properties first appeared on Warehousing and Fulfillment.

Owning a warehouse comes with a long list of maintenance obligations that can’t be ignored. These responsibilities are about keeping the building functional, legally compliant, and safe to occupy. Failure to stay on top of these requirements can lead to safety incidents, or major repair costs down the line.

This article gets into what warehouse owners need to know, what to fix, when to fix it, and how to do it without eroding your profits.

Related: How to Make Warehouse Upgrades That Justify Higher Rent

Some Maintenance Can Wait, Some Can’t

Not every maintenance issue needs to be handled right away. But a few things, like a roof leak over inventory or a broken dock door can cost you a tenant or stall a move-in. Others might not matter until you’re getting the building appraised or ready to sell. Knowing the difference helps you focus your time and money where it actually matters.

1. Structural Damage That Delays Occupancy

Roof damage, floor cracks, and dock irregularities are good examples. Any one of these can delay occupancy or give tenants a reason to ask for a discount or look elsewhere. Cracks in the floor, ponding on the roof, or a dock that slopes usually aren’t dramatic on their own, but they’re the kinds of issues that raise red flags during a walkthrough. They’re easy for tenants to spot and harder for owners to explain away.

• What to watch for: If a tenant walkthrough does happen, dock conditions are one of the first things that get noticed, especially if there’s visible cracking, drainage issues, or an awkward slope. Even without a full test, these are easy red flags.
• What to do about it: Surface patching or targeted leveling can often resolve minor slopes or unevenness. But if water is pooling or draining back toward the building, it may call for trenching, proper grading, or drain installation to prevent long-term damage.

2. HVAC Confusion That Becomes a Lease Dispute

HVAC responsibilities are one of the most common gray areas in warehouse leasing. Many leases don’t spell out who handles routine maintenance, who pays for repairs, or what happens when a piece of HVAC equipment fails mid-lease. And if those responsibilities are not clearly defined, the cost almost always falls on the warehouse owner.

HVAC can get messy when lease terms aren’t specific. Most tenants won’t bring up issues until there’s a failure and at that point, who’s responsible for paying isn’t always clear. If you’re managing multiple tenants in the same building, it gets even more complicated when shared systems come into play.

• What to watch for: Leases that leave HVAC responsibilities vague or split between parties without clear divisions. Lack of a service history, inconsistent temperature complaints from tenants, or filters that clearly haven’t been changed. These are signs the system hasn’t been maintained.
• What to do about it: Make sure your lease is specific about who pays for what, including routine maintenance, repairs, or full replacements. If possible, split HVAC by space so each tenant controls their own area. If the system is shared, clearly define usage zones and keep records of when it was last serviced. You’ll want this documentation when something goes wrong, or if you need it for insurance, or when retaining or replacing a tenant.

3. Lighting That Becomes a Safety Liability

Lighting issues tend to come up after the fact, usually when a tenant reports a visibility problem or after someone’s had a close call. Poor lighting in loading zones or aisles make it harder for workers to spot labels, read instructions, or avoid collisions with equipment, especially during early morning or late shifts. It also may leave you exposed if someone gets hurt and points to poor lighting as the cause.

A prospective tenant might notice it during a walkthrough, but more often, these issues show up once the space is in regular use.

• What to watch for: Fixtures that flicker or don’t match brightness across the space, dark zones in aisles, or signs that tenants have installed their own task lighting. These are usually quiet workarounds for a problem that hasn’t been fixed.
• What to do about it: Walk the space during active hours and see what visibility is like in real working conditions. Prioritize repairs in high-traffic areas and wherever equipment is moving. You don’t need to retrofit the whole building, just make sure the space is safe and usable for the way it’s being operated.

4. Fire Protection That Doesn’t Match Current Use

Most fire systems are designed for an empty warehouse, not for how a tenant ends up using it. Once racking goes up or inventory changes, your original setup may no longer meet code. If an inspector shows up, or there’s an incident and the coverage no longer matches the layout, you’re the one on the hook.

You won’t always be told when changes happen, but you’re still responsible if the system no longer protects the space.

• What to watch for: Racking near sprinkler heads, added mezzanines, or a shift in what’s being stored, especially if it’s flammable or chemical-based. Any one of these could put your system out of compliance.
• What to do about it: Require updated layout plans at renewal, or anytime you see major changes during site visits. Include language in the lease that flags reconfiguration as something that needs to be disclosed. Have your fire protection provider confirm the system still covers the space as it’s actually being used.

Maintenance Costs and Where Warehouse Owners Lose Money

What you spend on maintenance depends less on square footage and more on timing, including how early a problem is caught and whether it’s clearly your responsibility or the tenant’s. Here’s where costs tend to climb and how to avoid surprises.

Note: Costs assume no major replacements. Expect 2–4x increases in aging buildings or neglected systems.

Smart Cost-Control Moves

• Set aside a maintenance reserve: Don’t rely on rent leftover at the end of the month. Putting aside 5–10% of rent into a separate reserve keeps you from delaying work when something breaks.
• Group service contracts by category: Use the same provider for related work—like HVAC, electrical, or fire systems. It keeps pricing consistent and reduces the chance of missed inspections or service gaps.
• Address tenant impact through the lease: If tenants interact with systems—like filters, dock doors, or forklifts—be specific about their responsibilities. Use walkthroughs to document shared systems before issues come up.
• Track your own maintenance schedule: Don’t rely on memory or assume the vendor’s tracking it for you. Whether it’s software or a spreadsheet, keep a simple log of what’s been serviced and when. Most expensive problems start small and get overlooked.

Maintenance Is an Ongoing Cost of Ownership, Not an Optional Expense

Maintenance isn’t a one-time project you check off. It shows up in renewals, in insurance questions, in whether a tenant stays or walks. If the lease isn’t clear, or if there’s no service history when something breaks, you’ll be the one covering the cost.

You need to know what’s been done, when it was done, and who did it, because that’s what gets referenced when costs are questioned, claims are filed, or new tenants evaluate the condition of the space.

Every warehouse needs upkeep. The difference is whether it happens on your schedule, or when it can’t be avoided.

The post Warehouse Owner’s Maintenance Responsibilities and Costs first appeared on Warehousing and Fulfillment.

1. Optimizing Dock and Loading Access

Loading and unloading are top priorities for tenants. Minor improvements to dock areas can make a property more functional and attractive. If you are looking to make your warehouse more attractive to renters, consider these upgrades:

• Level and resurface dock areas so trucks can safely load and unload without damaging shipments.
• Install dock seals and shelters to keep out weather and control indoor temperatures, reducing utility costs.
• Add high-speed roll-up doors to minimize wait times, making loading and unloading quicker.
• Upgrade dock lighting to make nighttime operations safer and easier for workers.

2. Upgrading Flooring and Structural Integrity

Warehouse tenants need durable floors that can safely handle forklifts, heavy machinery, and stacked inventory. Damaged or worn flooring can lead to accidents, equipment damage, and safety issues. Consider these practical upgrades:

• Repair cracks and resurface concrete floors to prevent equipment damage and reduce accident risks.
• Apply epoxy floor coatings to minimize wear, prevent slips, and make cleaning easier.
• Reinforce mezzanines and storage racks to safely handle heavy loads and prevent inventory accidents.
• Add clear floor markings and safety lines to organize traffic flow and storage areas.
• Install protective barriers or guardrails around busy work zones to protect people and equipment from collisions.

3. Improving Lighting Efficiency

Good warehouse lighting helps workers see clearly, reduces mistakes, and lowers energy bills. Practical lighting upgrades include:

• Switch to LED lighting to lower electricity bills and provide brighter, more consistent lighting throughout work areas.
• Install motion sensors and timers to automatically shut off lights in empty or rarely-used areas, reducing waste.
• Increase natural lighting by adding skylights or windows, lowering the need for artificial lighting during the day.
• Use task-specific lighting fixtures to provide focused illumination in detailed work zones or inspection areas.
• Replace outdated fixtures with energy-efficient models to reduce maintenance and improve light quality.

4. Enhancing Security Features

Tenants are willing to pay more for a secure facility. Small but effective security upgrades include:

• Install high-definition cameras near loading docks, entryways, storage spaces, and parking lots for clear monitoring.
• Upgrade access control by implementing key card readers or biometric entry to prevent unauthorized entry.
• Improve fencing and secure gates around the property to clearly mark boundaries and reduce unwanted access.
• Add motion-activated security lighting around exterior areas, entry points, and loading docks to deter theft or unauthorized activity.

5. Modernizing HVAC and Ventilation Systems

Tenants that store temperature-sensitive products depend on reliable heating and cooling. Practical HVAC improvements include:

• Replace older HVAC units with energy-efficient models to better control temperature and reduce energy bills.
• Install industrial ceiling fans to circulate air evenly, making cooling and heating more efficient.
• Seal gaps around doors, windows, and loading docks to prevent air leaks and maintain stable indoor temperatures.
• Add programmable thermostats or zoning controls to manage climate separately in different warehouse areas.

6. Practical Tech Integration Upgrades

Warehouse tenants increasingly use technology to simplify inventory handling and shipment tracking. Practical upgrades include:

• Barcode scanning systems to quickly log inventory as it arrives, improving accuracy and reducing delays.
• Real-time inventory tracking to help tenants avoid stockouts by immediately updating product availability.
• Order-picking software that clearly identifies items needed for each order, improving packing accuracy and speed.
• Integrated return-management systems to promptly handle returned products and get sellable inventory back in stock.

7. Optimizing Parking and Traffic Flow

Clear parking areas and easy truck access help tenants move shipments in and out quickly and safely. Practical upgrades include:

• Repainting parking spaces and directional markers to clearly guide trucks and employees, preventing confusion or delays.
• Expanding truck turnaround areas to comfortably accommodate larger vehicles, reducing backup or parking issues.
• Creating separate entrances for trucks and employee vehicles to minimize congestion and avoid delivery slowdowns.
• Installing protective barriers or guardrails near loading areas to prevent accidental vehicle or property damage.

8. Investing in Sustainability Features

Many tenants value eco-friendly facilities, and practical sustainability upgrades can lower your costs. Consider these improvements:

• Upgrading to water-saving fixtures to directly reduce monthly utility bills.
• Introducing recycling and waste sorting programs to simplify waste disposal.
• Installing energy-efficient lighting and automated timers to reduce electricity use and lower costs.
• Adding solar panels to attract sustainability-focused tenants, though upfront costs are high and payback periods longer compared to other options.

9. Enhancing Curb Appeal and Property Maintenance

Even for warehouses, a clean exterior helps attract tenants and maintain rental value. Simple upgrades include:

• Repainting exterior walls and dock doors for a fresh appearance, showing the property is well-maintained.
• Basic landscaping around entrances and signage areas to enhance first impressions without major upkeep costs.
• Repairing sidewalks and entry paths to improve accessibility and prevent potential injuries.
• Regularly cleaning windows, signage, and exterior lighting to maintain a professional and inviting appearance.

WarehousingAndFulfillment.com has helped over 64,000 companies connect with warehouse providers. Over nearly 20 years, we’ve evaluated more than 5,900 warehouses, collecting feedback on what tenants value most. List your warehouse with us to reach businesses actively searching for space.

The post How to Make Warehouse Upgrades That Justify Higher Rent first appeared on Warehousing and Fulfillment.

As consumer expectations for fast and reliable deliveries grow, businesses must adopt warehousing strategies that balance affordable storage with timely order fulfillment. This article looks at warehousing, how it functions, and its role in supporting your business’s growth.

What is the Definition of Warehousing?

Warehousing refers to the storing of goods and products in a structured manner to ensure they are safe, organized, and accessible for distribution or sale. Traditionally, warehouses served as static storage spaces, but modern warehouses are much more dynamic in their capabilities. Modern warehouses function as full-service fulfillment centers, where products are prepared and shipped directly to customers.

Modern warehouses use tools like Warehouse Management Software WMS and tracking systems to manage inventory. Modern warehouses also provide practical fulfillment services like picking & packing, custom packaging, labeling, and kitting/bundling. At its core, warehousing services help businesses organize their inventory, lower their distribution costs, and deliver products to their customers quickly.

What are the Functions and Processes Of Warehousing?

Warehouses are much more than places to store goods. They’re where products are received, organized, and prepared to reach customers. These facilities make it possible to keep track of inventory, fill orders, and get items delivered on time.

The main activities or functions of a warehouse include receiving shipments, storing goods, picking and packing orders, and shipping them out.

The Four Main Functions of Warehousing

Each of these steps plays a role in moving products from suppliers to customers. Let’s take a closer look at how these warehousing functions work together:

Receiving

Receiving in warehousing involves unloading shipments from suppliers, checking that the items match the delivery paperwork, and inspecting for any damage or issues. Once the contents are confirmed, they’re recorded in the inventory system with details like quantities and storage locations, making them ready for storage or further processing. This step helps maintain accurate records and prevents errors downstream.

If your business handles large shipment volumes or delicate items, an improved receiving process may benefit your needs.

Storage

Storage in warehousing means placing products (raw materials, finished products, or even excess inventory) in specific locations so they can be retrieved easily when needed. For e-commerce businesses, this often involves keeping frequently shipped items in easily accessible locations or using designated storage areas for returns and unsold stock. Effective storage practices typically involve organizing items by type, size, and demand frequency, allowing for greater efficiency in retrieving products when sold. The goal is simple: protect products from damage and theft, keep inventory organized, maintain proper inventory levels, and make it easier to retrieve items when orders come in.

If your e-commerce business struggles with misplaced products or slow order fulfillment, optimizing your storage methods may provide tangible benefits.

Picking & Packing

Picking involves taking products from their storage locations to fulfill customer orders. This step focuses on accuracy and getting the right items in the right quantities. Some warehouses use simple tools like printed pick lists, while others rely on handheld devices or even lights to guide workers to the correct locations and quantities.

Packing comes next and prepares the picked items for shipping. This includes securely placing them in boxes (generic or custom shipping cartons) or containers to prevent damage during transit. Labels with barcodes or handling instructions are often added to help with delivery and tracking. The goal is to keep items safe and organized, so they arrive as expected.

For online stores facing order errors or misplaced products, refining your picking and packing process could make a big difference.

Shipping

Shipping is the final step, where products are sent from the warehouse to their destinations. This process starts with verifying the order details, packing items securely, and labeling them for delivery. Once ready, shipments are handed off to carriers for transport. At this stage, the focus is on accuracy. Making sure the right items are routed to the right destination using the correct address and service level—all while keeping costs under control.

For businesses handling frequent customer complaints about damaged packages or missed delivery windows, improving your shipping process may help maintain trust.

What are the Essential Tools in Warehousing?

To run efficient warehousing operations, there are certain necessary supplies, items, pieces of equipment, and types of technology required. Some of these are:

• Storage shelves or racks to keep the inventory organized and easily accessible.
• Forklifts or hand pallet jacks for moving heavy loads around in the warehouse.
• Barcode scanners and RFID tags to help track inventory levels and facilitate faster stock-counting processes.
• Warehouse Management System (WMS) for managing inventory levels, tracking orders, and managing shipping schedules.
• A backup generator in case of power outages, which can significantly impact operations.

Warehousing vs. Distribution Fulfillment Centers: What’s the Difference?

The main difference between warehousing and distribution fulfillment centers is the level of services provided. Warehousing simply refers to storing goods in a secure location, which can sometimes include receiving and processing inventory, picking and packing orders, and transporting purchases to stores or customers.

On the other hand, distribution fulfillment centers provide additional services such as order tracking and management and handling returns, in addition to packing and labeling products for shipment, and even more. In general, warehouses focus solely on storage, while distribution fulfillment centers take on a wider range of responsibilities to ensure products are delivered accurately and on time.

Why is Warehousing Important?

Warehousing is vital to the smooth operations of not only businesses but also the economy at large, for several reasons.

Firstly, it provides a secure location for the storage of goods and inventory. This means that businesses may purchase items in bulk, store them in a warehouse facility, and keep sufficient inventory levels to meet demand. Additionally, warehouses can ensure that products are shipped out in good condition as they provide protection from theft, damage, and harsh weather conditions.

Secondly, warehousing allows efficient order fulfillment as products can be picked up quickly when needed. This helps prevent delays in customer deliveries or shortages of supplies for manufacturers that could lead to production downtime.

Lastly, warehousing offers businesses opportunities for strategic expansion as companies can choose to locate their facilities closer to key suppliers and markets. By doing so, they can reduce transportation costs while increasing logistical efficiency, leading to an improved bottom line.

How Does Warehousing Fit into eCommerce Operations?

Warehousing plays a critical role in eCommerce operations as it involves the storage of goods from various suppliers that will eventually be sold to customers online. A warehouse serves as the hub for inventory management, order processing, and shipment coordination. eCommerce businesses must ensure that their warehouses operate efficiently to reduce costs, increase productivity, and deliver customer satisfaction consistently. This involves proper product categorization and a smart layout for optimal storage capacity utilization.

Warehouses also require competent staff who can manage and organize inventory effectively while maintaining high levels of accuracy through barcode scanning or radio frequency identification (RFID) technologies. Ultimately, eCommerce businesses must integrate their warehousing with other parts of their supply chain, such as transportation and order fulfillment, to create a seamless process that delivers products promptly to customers while maximizing profitability.

Why You Should Trust Us

We’ve been matching businesses with warehouses since 2005. Each warehouse and fulfillment center is assessed through more than 80 criteria, such as customer reviews and retention rates. Most importantly, we apply a human touch and consider the subtle differences that make your business unique. This is how we compete with tech firms with little knowledge of the fulfillment industry or 3PLs that place themselves at the top of their own lists.

We’ll Help You Find the Right Warehousing Solution

Our vetting process is designed to connect businesses with reliable warehousing and fulfillment services. Each warehousing company has been carefully evaluated and has demonstrated professionalism and adherence to industry requirements:

• Application and Interviews: Providers complete detailed applications and participate in thorough interviews.
• Reputation Research: Each provider’s track record is reviewed, including checks for Better Business Bureau accreditation.
• Credit Assessment: Credit checks are conducted to confirm financial stability.
• Client References: Feedback from past clients and performance history are carefully evaluated.
• Compliance Standards: Providers must meet key industry benchmarks and offer competitive pricing.

WarehousingAndFulfillment.com maintains high standards throughout the vetting process. Providers that do not meet these criteria are not included. To get started, submit a form or contact our team to find trusted warehousing and fulfillment solutions.

The post What is Warehousing? Definition, Advantages, and Functions Explained first appeared on Warehousing and Fulfillment.