Brazil logistics market prioritizes location over scale

During the first half of 2025, the logistics landscape in Brazil shifted toward prioritizing the strategic location of distribution centers over total physical area. Driven by the demand for rapid delivery, e-commerce and retail companies are increasingly seeking facilities near major urban centers to reduce the time and cost of last-mile logistics.

A study by real estate consultancy CBRE reveals that e-commerce operators accounted for 53% of the 100 largest logistics leasing transactions in the country during this period. Properties located within a 30-kilometer radius of major consumer hubs, particularly in the São Paulo Metropolitan Region, have seen higher appreciation due to their proximity to markets and road infrastructure.

This trend suggests that physical scale does not equate to operational efficiency. While larger warehouses serve specific needs, their effectiveness is tied to the ability to reach consumers quickly. Consequently, urban and flexible warehouse solutions are gaining traction among companies looking to optimize delivery speeds and manage operational costs.