Warehouses are spaces used to store goods for short or long term periods. Rented warehouse space plays a major part in the logistics sector, which is significant in facilitating business operations across the manufacturing, trade, and transport sectors. Research by Krungsri Research states that from 2022 to 2024, operators of rented warehouse space will see an improvement in business conditions which will accompany economic recovery.
Therefore, to establish a warehouse, whether in terms of building a new warehouse or renting an existing one, businesses should keep in mind important factors necessary in choosing the right location as if the location is not suitable for the business types, it could affect the cost of transportation or long-term business growth.
With that in mind, four key factors for selecting warehouse locations are as follows:
Conveniently Located near Suppliers, Manufacturers, and Customers
To choose the right location for warehouses, businesses should consider whether the site is near suppliers, manufacturers, or customers. This will help reduce the time and expenses in shipment. For those with international clients, we recommend that the warehouses should be located near airports or main ports for the efficiency of product shipment.
Easily Accessed Transportation Routes
Warehouses must have transportation routes that are easily accessible. Roads, expressways, and good transportation are other factors we must consider when choosing a warehouse, as these variables will directly affect the transportation process or business logistics.
Environment
In addition, businesses should also consider environmental factors such as weather conditions and the risk of natural disasters. Other than that, warehouses should not be located too close to the community to prevent possible disturbances to the community.
City Plan and Zoning by Colour Codes
Another factor that is essential in choosing the location of warehouses is the Town Planning Act because according to the act, some areas may prohibit the construction of warehouses. So, businesses should carefully study the details of the area. Should there be any doubt, it is recommended to seek advice from the district office or the local municipality where the land is located.
Before this article ends, we’ve also got three recommended zones for warehouses businesses should put on their lists!
Samut Prakan
Samut Prakan Province is one of the provinces situated close to Bangkok and is about half an hour’s drive from Bangkok to Bangna-Trat. The province is also the location of Suvarnabhumi Airport, the primary airport in Thailand. This province is one of the most industrial-concentrated areas in the country and has great potential for new businesses.
Laem Chabang
Located in Sriracha and Bang Lamung districts, Chonburi, Laem Chabang is known as Thailand’s leading maritime gateway. It is a municipality established to serve as the main commercial port of Thailand.
Wang Noi-Ayutthaya
Wang Noi, a district in Ayutthaya, is still the leading destination for distributing goods and products from manufacturers and suppliers in Greater Bangkok and northern and northeastern provinces and back to markets in the capital.
We hope that this article has been helpful to you one way or another. If you would like to explore our commercial property services or need assistance securing a warehouse in Thailand, please feel free to contact us today at Lazudi. Our highly experienced Commercial team will be happy to assist you.
You may also be interested in: The Impact of Covid-19 on the Office Rental and Commercial Property through an Expert Eye
