What Are The Top Warehousing Locations in NY & NJ?

Nowadays it seems that the only thing more expensive than shipping costs is the cost of warehousing, and in no place is the need for cost-efficient warehousing more critical than in New York and New Jersey.

What Are The Top Warehousing Locations in NY & NJ?

Nearly 30 million people live in New York and New Jersey. When you combine their populations, New York and New Jersey are the most populated metropolitan areas in the United States.

To supply 30 million people New York and New Jersey receive more than 1.148 billion tons of inbound freight each year. That is a lot of freight that needs to be stored somewhere.

A business aiming to capitalize on the lucrative New York and New Jersey markets should first consider how, and where they plan to store their inventory and distribute it to their customers.

What to Consider

According to the CBRE, the strength of real estate markets near ports in the United States is booming, and consumer demand is stronger than ever.

The report cites a shortage of available commercial land, and an increase in the number of two-day and same-day shipping offers made by online retailers.

New York and New Jersey are not immune to the rising cost of real estate. It may come as no surprise that New Jersey is one of the top three most expensive commercial real estate markets in the United States.

The commercial real estate markets are so strong near ports because, when it comes to warehousing, port proximity is as important as inventory space.

Port Proximity

Real-estate is always costlier near the water, and the same rule of thumb applies to warehousing in New York and New Jersey.

Fulfillment centers and warehouses near seaports save on transportation costs and transit time between the port and their shipping dock.

Port of New York & New Jersey

The Port of New York & New Jersey is the third busiest in the United States and the busiest on the East Coast.

Each year more than $200 billion worth of shipping cargo paces enters New York and New Jersey, including nearly 3,350,000 shipping containers.

Freight is processed in one on four terminals wherein it is loaded on to rail cars or drayage freight carriers, and distributed to commercial warehousing centers throughout the greater New York and New Jersey metropolitan areas.

  • Howland Hook Marine Terminal
  • Port Jersey Marine Terminal
  • Port Newark-Elizabeth Marine Terminal
  • Red Hook Marine Terminal

New Jersey

New Jersey is located in the middle of the Northwest Corridor. New Jersey’s premium location provides retailers with access to more than 30 million consumers (40% of the US Population) with disposable incomes of more than $800 billion.

New Jersey is easily accessible and traversable making it a premium location of same-day delivery operations.

Retailers like Amazon and Jet.com realized the benefits of warehousing in New Jersey years ago and currently operate fulfillment and distribution centers in:

Most New Jersey warehouse locations are no more than 2 hours drive from the Port of New York and New Jersey and are conveniently located near major freight corridors, including:

New York City

The cost of commercial real estate in New York City is on the rise as the city rezones, demolishes and replaces viable commercial space with residential buildings.

Though much of the redevelopment has been confined to New York’s outer boroughs, the commercial areas surrounding the Port of New York and New Jersey are no less expensive and far trickier to develop.

As such, many of the top warehousing locations that service New York City are actually in New Jersey. Though, New York City is not without its share of premium warehousing space.

Retailers seeking warehousing and fulfillment operations New York City have a choice of five boroughs:

The Port of New York and New Jersey operates two marine terminals in New York City; the Howland Hook Marine Terminal on Staten Island, and the Red Hook Marine Terminal in Brooklyn.

New York State

New York State encompasses most of New England and comprises more than 19.85 million consumers.

The top warehousing locations in New York state are positioned to receive inbound freight from the Port of New York & New Jersey, and ship orders to customers elsewhere in the state. These locations include:

Warehousing locations in New York and New Jersey are well suited to meet same-day delivery standards, but the cost of real estate is rising as fast as consumer demand for faster product delivery.

Retailers looking to capitalize on the growth of eCommerce in the lucrative New York and New Jersey markets would do well to consider New Jersey for cheaper commercial real estate, and access to, New York City, New York State and the rest of New England.

However, if you are business which values efficiency and speedy deliveries, then a New York City warehouse location is the best way for you to quickly and effectively service your city-dwelling, same-day loving customer base.

Flowspace operates in the top warehousing locations in NY and NJ. Get a free quote today!

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