5 types of industrial real estate  

Industrial real estate refers to properties that are used for industrial purposes, such as manufacturing, warehousing, distribution, and research and development activities. It can be a valuable investment opportunity for those looking to expand their operations. Take a look at the following five for a little industrial inspiration. 

Manufacturing Facilities  

A common type of industrial real estate, manufacturing facilities are designed to accommodate the production lines, equipment, and machinery used in the manufacturing process. They typically boast large open spaces, high ceilings, and loading docks for receiving and shipping goods. Manufacturing facilities are often located in areas that offer easy access to transportation routes, such as highways and airports.  


Used to store and distribute goods, warehouses can be owned or leased by businesses that need extra storage space for their inventory. In a variety of capacities and configurations, warehouses range from small storage units to large distribution centers. They often feature loading docks and overhead doors for the efficient movement of goods.  

Flex Space  

Flex space is a versatile type of industrial real estate that can be used for a variety of purposes. It can accommodate manufacturing, warehousing, and office space all in one location. Flex space is often used by small businesses that need a flexible workspace that can be easily adapted to their changing needs. It is also popular among e-commerce companies that require both storage and office space.  

Research and Development Facilities  

Research and development (R&D) facilities are designed for scientific research, testing, and development of new products. These facilities are often located in close proximity to universities and research centers to facilitate collaboration and access to talent. R&D facilities can be expensive to build and operate, but they can provide a competitive advantage to companies that invest in innovation.  

Data Centers  

A data center is a specialized facility used to store, process, and manage large amounts of data. Critical to the operations of many organizations, data centers require bespoke infrastructure, such as high-speed internet connections, backup power systems, and cooling equipment to maintain optimal performance.  

Understanding the different types of industrial real estate can help businesses and investors make informed decisions about their operations.  Additionally, as the article says, each business will have different needs for a variety of reasons, but a huge factor in that will be the size of the business. A large size business vs a small/start up business will not have the same space or functional needs. A small company would likely not require R&D facilities, and similarly, a large business would need a lot more than flex space to run their day to day. In the same way, the nature of the business and industry, amongst other factors will all come into play.