The Role of CRE in Supporting the Local Supply Chain
5 min read
Commercial real estate is far more than just buildings and spaces. It’s a foundation for economic activity. As supply chains become more localized and businesses adapt to evolving market demands, CRE plays a central role in strengthening how goods and services move within communities.
In this article, we’ll explore how commercial properties support the local supply chain and why their influence is critical to regional growth.
Industrial Properties as Supply Chain Anchors
Industrial facilities, including warehouses, distribution centres, and manufacturing plants, serve as the backbone of local supply chains. With e-commerce driving demand for faster deliveries, businesses rely on strategically located properties to ensure products reach customers quickly and efficiently. By developing industrial real estate near major highways, ports, or urban centres, CRE developers directly support the flow of goods and reduce transportation costs.
The Growing Need for Last-Mile Solutions
One of the most pressing challenges in supply chain management is last-mile delivery. CRE is at the heart of solving the issue through smaller, flexible warehouse spaces located closer to urban populations. These properties enable businesses to respond to customer needs quickly, supporting both retailers and service providers while minimizing delivery times. The rise of micro-warehousing exemplifies how CRE can adapt to evolving logistics strategies.
Retail Properties as Community Connectors
Beyond industrial real estate, retail spaces play a unique role in supporting local supply chains. By providing storefronts for small businesses and service providers, these properties act as a link between producers and customers. Vibrant retail corridors not only support the economy but also encourage local sourcing, helping communities build resilience in times of disruption.
Mixed-Use Developments Supporting Flexibility
Mixed-use developments further enhance supply chain resilience by integrating residential, office, and retail space. By bringing businesses and consumers closer together, these developments reduce transportation needs and foster local commerce. A property designed to house both logistics operations and retail outlets can meet multiple demands, all within a single footprint.
Sustainability and Localized Supply Chains
Sustainability goals and reshaping supply chain strategies are crucial enablers for CRE. Properties that incorporate green building certifications, energy-efficient systems, and eco-friendly transportation infrastructure make it easier for businesses to meet their environmental commitments. Supporting localized supply chains also reduces reliance on long-haul transportation, cutting emissions and benefiting communities.
Commercial real estate is more than a backdrop for supply chains; it’s an active partner in shaping how they function. From industrial hubs and retail corridors to last-mile solutions and mixed-use developments, CRE directly supports the efficiency, resilience, and sustainability of local economies. As supply chains continue to evolve, properties that are thoughtfully planned and strategically located will remain essential to keeping goods moving and communities thriving.
References
The role of industrial and retail real estate in Canada’s commercial real estate - redev properties. ReDev CRE Management BC | Alberta | Ontario. (2025, April 3). https://redevgroup.com/2025/04/03/the-role-of-industrial-and-retail-real-estate-in-canadas-commercial-real-estate/
2024, D. (2024, December). The obvious - and not so obvious - case for Logistics Real Estate. The obvious - and not so obvious - case for logistics real estate. https://institutional.fidelity.ca/fci/en/insights/insights-library/obvious-not-so-obvious-case-for-logistics-real-estate/
About Royal LePage Commercial Westhaven Toronto
Our commercial real estate industry and segment expertise coupled with Royal LePage’s national platform and integrated systems provides best-in-class real estate strategies and a competitive advantage that can’t be beat.
We help businesses identify opportunities and maximize their return on investment with actionable goals, centralized support services and a strong commitment to customer success. Our national partnerships help us establish, guide and execute successful business investments.
We offer commercial real estate agents a professional environment, focused 100% on commercial real estate. Agents can expect unlimited market boundaries to build their business without the interference of a heavy corporate structure. In addition, agents will be able to access Royal LePage’s national referral network of over 18,000 agents to develop more business in their target markets with incoming leads generated daily. The brokerage provides agents a suite of services including marketing, promotional, networking and professional development needs.
Innovation and service excellence have developed and propelled the Royal LePage brand since 1913. When you join Royal LePage Commercial Toronto brokerage, you have the backing of one of the most powerful commercial real estate services company in Canada—Bridgemarq Real Estate Services Inc. (formally Brookfield Real Estate Services Inc.). Bridgemarq is a leading provider of services to real estate brokers and agents. They are an affiliate of Brookfield Business Partners, a business services and industrials company focused on owning and operating high-quality businesses and is listed on the New York and Toronto stock exchanges.