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Reshoring describes the practice of relocating manufacturing, assembly, or production operations back to a company's home country after having previously moved that activity overseas, often in pursuit of lower labor costs. Companies pursue reshoring for a range of reasons, including reducing exposure to international shipping disruptions, shortening supply chains, managing geopolitical risk, and gaining closer control over quality and production timelines. For industrial real estate, reshoring activity translates directly into demand for domestic manufacturing space, warehouse capacity to support new production facilities, and logistics infrastructure to move goods once they are made. This trend has been examined in detail in a recent look at how reshoring is reshaping industrial real estate demand, particularly across markets with strong labor availability, transportation access, and available industrial land. Investors tracking reshoring trends often focus on regions experiencing manufacturing investment growth, since new or expanded plants can generate durable demand for surrounding warehouse, distribution, and supplier space over an extended period.

Further reading: How Reshoring is Rewriting the Industrial Landscape

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