Runabout Property Income company Limited is a UK based company that invests in commercial real estate assets across the UK including offices, retail properties, industrial buildings, and other alternative property assets. The Trust has commissioned this report to inform them about the current and outlook (demand and supply) for logistic properties in Scotland, such as distribution centers, warehouses and logistics hubs. They also need a recommendation from an independent consultant like you to assist them in making their decision to invest in such properties. Your client requires you to discuss the underlying forces that drive the demand for logistic properties in Scotland and the current and future level of supply of such assets. Your report should consider the underlying economic theories in location choices for logistics firms. You should also provide an overview of the performance of logistic properties and the potential risks of such investment. The report should lead through your analysis to the possible recommendation as whether Runabout Property Income company Limited should invest in logistic properties in Scotland, and if so, which geographical market and the specific type of asset should they be focusing on?

A very readable account of location choice for logistics companies can be found in the following papers (but not limited to): Holl, A. and Mariotti, I., 2018. The geography of logistics firm location: the role of accessibility. Networks and Spatial Economics, 18(2), pp.337-361. van den Heuvel, F.P., De Langen, P.W., van Donselaar, K.H. and Fransoo, J.C., 2013. Spatial concentration and location dynamics in logistics: the case of a Dutch province. Journal of Transport Geography, 28, pp.39-48. Verhetsel, A., Kessels, R., Goos, P., Zijlstra, T., Blomme, N. and Cant, J., 2015. Location of logistics companies: a stated preference study to disentangle the impact of accessibility. Journal of Transport Geography, 42, pp.110-121.