March retail sales highlight the resilience and outperformance of logistics, said Prologis Research in its fourth installment of its special report on COVID-19 and its implications for logistics real estate. In total, logistics real estate industries outperformed the national average by 730 basis points, with a decline of 1.4 percent versus a drop of 8.7 percent for all of retail.
New behaviors have created significant challenges in some industries. In total, identifiable direct logistics real estate exposure to the most hard-hit industries (auto sales, travel/tourism/conventions/entertainment, restaurants, department stores, and aerospace/oil and gas) is small, at 3 percent to 4 percent of the customer base. However, segments of the aforementioned industries will likely also face challenges, particularly small- to mid-sized customers that, irrespective of government support, don’t have the operational flexibility to handle a pandemic. Segments with a notable concentration
