9What kind of infrastructure and resources does the com- munity have in place? Local infrastructure and resources
can make a big difference in how quickly a DC rebounds
from a disaster or event, Solly says. For example, what are
the roads into and out of the facility like? Are they prone
to flooding? What is the local fire department like; could it
handle a high-challenge fire? How would firefighters access
the site? If you’re outside the flood zone, are you protected
by a levy? If so, is that levy adequately maintained?
According to Solly, it is good practice to consult with
your insurance company on possible risks and hazards
once you have narrowed down your search to two to three
sites.
In addition to evaluating the quality of local infrastructure and resources, companies need to find out what
ordinances or regulations may apply to their new DC. For
example, is there a height restriction due to a nearby airport
or other local ordinances? Are there limitations on road
access? What are the fire regulations in the community?
10Who are the people in your neighborhood? Companies need to look not only at what is on the land they plan
to acquire or rent, but also at what is happening on adjacent
properties, says Solly. For example, are you next to a chemical plant that could release hazardous materials? Does your
neighbor store highly combustible materials—such as big
stacks of empty pallets—in its yard?
“There is likely no way to clearly understand the neighbors’ risk or risk management plan, but it makes good sense
to consider the potential based on publicly available information and make an informed choice,” Solly says.
11Have you given yourself enough time? According to Morris of Cushman & Wakefield, this is one of the
most important questions companies should ask themselves before they start the site selection process. “[Not
giving yourself enough time] is one of the most common
mistakes, and it is certainly the most impactful,” he says.
For a typical warehouse or distribution facility, Morris
recommends giving yourself three months after you’ve
selected the building site to properly vet the location and
property before you sign the certificate of occupancy or the
initial lease. For more complicated facilities that involve
manufacturing, that timeframe can extend to as much as
two years.
Many of the other problems that crop up can be resolved
as long as you’ve allowed enough time in the schedule. If
you start the process and then discover you don’t have all
the information you need to design a facility, you can stop
and conduct a more thorough analysis … as long as you
have enough time. Likewise, if you find that you haven’t
gotten buy-in from all the appropriate parties, you can
stop and “resell” the project … but again, only if you have
enough time. A much more difficult obstacle is adding
more time to a project timeline, Morris says.
