Logistics Real Estate

Logistics property is gaining more and more attention of many investors as the derivative industry of logistics. Since the word "logistics property" is quoted from foreign countries, many Chinese people cannot understand its connotation quite well, so the purpose of this thesis is to extend my proposals on our local development modules in this area. Of course, all these proposals are based on the introduction of the concepts of "logistics property" and matured developing experiences from foreign countries."Logistics Property" is the area which is selected according to customers demand, and after the related infrastructures being built, it can be sold to or rent for such customers as manufacturers, retailers or third party logistics by the investors. Then the investors will dispatch a professional team to manage the infrastructure and provide correlated property service.The success of logistics property mainly depends on the stability of demand, while the stable and large demand is based on the support of great distribution network. So logistics property industry cannot be developed separately, the preconditions of its development is to involve into logistics parks, because LP is the only place which can provide enough stable demand and the possibility of building a large distribution network. In this thesis, I take Prologis Logistics Park and Shanghai WGQ bonded Logistics Park as example, comparing both their merits and demerits of the operating mode from three aspects, i.e, their acting role, business module and profiting module. On this basis, I am tempt to summarize the suitable developing module for Chinese logistics property industry.While another feature of logistics property is its large investment and long profit return period. Although the benefits return percentage is almost fixed, the big fund needed to build infrastructure and maintain is really a tough task to the investors, so it is necessary to build a legitimate financing channel. As far as we can touch, every successful logistics property operator is supported by a big professional financing team. Then another point comes out, that is the necessity of developing logistics financing in this industry. In this thesis, I am trying to find out the answers to this question. When the logistics property investor has solved the upper two problems, can it be a successful investor? The support from government is also an important factor for the development of logistics property, we can get it from the policy maker of Japan and Germany. While our country has some weakness in this factor, I am trying to give some proposals in improving the correlated industrial policy.