The logistics and storage sector are undergoing undeniable transformations in Latin America, with a key driver of these changes being the emergence of vertical logistics parks, a trend gaining prominence in Mexico and expected to spread to other Latin American countries in the coming years.

These spaces are emerging in response to the need for greater efficiency in supply chains and the growing demand for fast deliveries, especially in densely populated areas where available land is limited and costly.

To delve into the advancement of these warehouses, the REsource editorial team in Mexico interviewed Eduardo Neuman, CEO of Interlogix, a real estate developer specialized in vertical properties for Last Mile. According to the executive, these spaces not only save time and money but also offer an intelligent solution to reduce the environmental impact of the logistics sector.

At first glance, the difference between a vertical and horizontal warehouse may seem similar to that of a tower versus a single-story building. However, there is much more detail than meets the eye.

A complex of vertical warehouses or a vertical logistics park is a storage facility designed to optimize product distribution in the final stage of the supply chain. Its purpose is to reduce delivery times and distances, and therefore, they are often strategically located near distribution points in prime locations. Tenants of these properties typically employ cutting-edge technology, such as automation and robotics systems, to optimize inventory management and reduce operational costs. This results in increased logistical efficiency, greater storage capacity, and a more sustainable approach.

Despite their efficiency and flexibility being rooted in space optimization and strategic locations, what truly sets vertical logistics parks apart is their ability to handle large-scale operations and constantly growing order volumes, enabling rapid access and deliveries within 24 hours.

Moreover, by maximizing space due to their verticality and utilizing energy-saving technologies, these logistics parks can significantly contribute to reducing the sector's carbon footprint. Proximity to urban centers and the ability to make quick deliveries lessen the need for long-haul trucking, thereby reducing greenhouse gas emissions and traffic congestion.

Currently, Interlogix is developing more than five vertical warehouses in Mexico City and plans to have approximately 125,000 cubic meters of warehouse space by the end of 2024 and another 250,000 cubic meters by the end of 2026.

As Interlogix's developments are built from scratch, rather than adapting pre-existing spaces, their design involves a certain degree of complexity, especially in logistical aspects such as calculating maneuvering yard sizes, turning radii for various types of transportation, slab load capacity (one ton per square meter on all levels), space for forklifts, gate and dock sizes, as well as the height between floors to facilitate loading and unloading of any vehicle. This also includes the incorporation of high-speed elevators with a two-ton load capacity.

In addition to these challenges, Neuman explained that there are several construction restrictions in Mexico City. Instead of developing 750,000 cubic meter vertical logistics parks in 25 levels, as has been done in Asia for over two decades, they develop properties ranging from 15,000 to 30,000 cubic meters that can be subdivided into smaller spaces to meet each client's needs.

Sustainability is a significant factor for Interlogix. Apart from being in last-mile or in-fill locations to reduce the carbon footprint associated with freight transport, Interlogix's vertical logistics parks incorporate sustainable technologies such as solar panels, LED lighting, and rainwater harvesting and reuse.

Regarding technological innovations in building design and construction, Neuman highlighted the use of increasingly advanced materials that allow for more efficient and cost-effective constructions with improved weight, strength, durability, and cost characteristics. Interlogix also uses systems that facilitate the creation of more efficient designs and structures, speeding up project processes, minimizing errors, and optimizing investment.

With the growing demand for fast and efficient deliveries and the evolution of technology and process automation, the trend is towards the continued growth of vertical warehouse development in Latin America and globally.