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Logistics real estate is hot, hot, hot

It’s a mad scramble to find warehouse space anywhere in the world right now. Demand is outstripping supply, vacancies are at a record low, and, owing to the ongoing e-commerce boom, there’s no end to the crunch in sight. Add in spiking construction costs and land prices, and it’s a perfect storm for the highest demand and fastest rent growth in logistics real estate history, according to the recent “Logistics Rent Index” from real estate investment trust company Prologis. Here are a few highlights from the February 2022 report:

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Companies need to plan for top five supply chain risks of 2025

The five most likely supply chain events that will impact business operations this year include climate change/weather, geopolitical instability, cybercrime, rare metals/minerals, and the crackdown on forced labor, according to a report from supply chain risk analytics provider Everstream Analytics.

“The past year has been unprecedented, with extreme weather events, heightened geopolitical tension and cybercrime destabilizing supply chains throughout the world. Navigating this year’s looming risks to build a secure supply network has never been more critical,” Corey Rhodes, CEO of Everstream Analytics, said in the firm’s “2025 Annual Risk Report.”

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Unemployment rate stayed flat in December for transportation sector

The unemployment rate in the U.S. transportation sector was flat in December 2024 compared to the same month last year, coming in at 4.3% (not seasonally adjusted), according to the latest numbers from the Bureau of Transportation Statistics, part of the U.S. Department of Transportation.

That number is low compared to widespread unemployment in the transportation sector which reached its highest level during the COVID-19 pandemic at 15.7% in both May 2020 and July 2020. But it is slightly above the most recent pre-pandemic rate for the sector, which was 2.8% in December 2019, the BTS said.

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UPS acquires two German healthcare logistics specialists

Parcel carrier and logistics provider UPS Inc. has acquired the German company Frigo-Trans and its sister company BPL, which provide complex healthcare logistics solutions across Europe, the Atlanta-based firm said this week.

According to UPS, the move extends its UPS Healthcare division’s ability to offer end-to-end capabilities for its customers, who increasingly need temperature-controlled and time-critical logistics solutions globally.

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Overhaul lands $55 million backing for risk management tools

The supply chain risk management firm Overhaul has landed $55 million in backing, saying the financing will fuel its advancements in artificial intelligence and support its strategic acquisition roadmap.

The equity funding round comes from the private equity firm Springcoast Partners, with follow-on participation from existing investors Edison Partners and Americo. As part of the investment, Springcoast’s Chris Dederick and Holger Staude will join Overhaul’s board of directors.

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East and Gulf coast strike averted with 11th-hour agreement

Shippers today are praising an 11th-hour contract agreement that has averted the threat of a strike by dockworkers at East and Gulf coast ports that could have frozen container imports and exports as soon as January 16.

The agreement came late last night between the International Longshoremen’s Association (ILA) representing some 45,000 workers and the United States Maritime Alliance (USMX) that includes the operators of port facilities up and down the coast.

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