Philip Hawkins, president and CEO of DCT Industrial Trust (NYSE: DCT), joined Nareit for a video interview at REITworld 2017.
DCT specializes in the ownership, development, acquisition, leasing and management of bulk-distribution and light-industrial properties.
Although Hawkins says it is difficult to quantify the impact of e-commerce on demand for industrial space, he estimates that it accounts for about a third of absorption in the DCT portfolio.
Over time, the distinction in the supply chain between e-commerce and traditional retail has become more blurred, Hawkins said. “Almost every company is working on e-commerce fulfillment…it’s certainly a major tailwind for the business,” he noted.
Hawkins also said he is optimistic that industrial supply will remain disciplined.
“It’s key to the market fundamentals remaining as positive in the future as they’ve been so far,” he observed.
Looking to 2018, Hawkins said he is “pretty optimistic” that DCT will be able to deliver the consistent results the company has achieved during the last few years.