AMB is focused on providing distribution space to customers whose businesses are tied to global trade and depend on the efficient movement of goods through the global supply chain. Our properties are located in the world’s busiest distribution markets—“infill” locations featuring large consumer populations and proximity to seaports, airports and major freeway interchanges. Infill locations are valued by customers for their access to transportation infrastructure and valued by investors because of limited land availability for competing development.
Demand for industrial real estate reflects the long-term relationship between global trade and global GDP. For more than 50 years, trade has outpaced GDP growth by a factor of four—a trend likely to increase as the world produces and consumes more. As global supply chains become leaner and faster, infill locations serving major population centers grow increasingly valuable. The scarcity of land in these trade-centric hubs, combined with escalating building costs, makes it difficult for new product to compete with our portfolio. Some of our locations offer the potential for redevelopment into higher and better uses when neighborhood plans call for new high-density residential, retail or office properties.
Seaborne cargo is a rapidly growing segment of global trade. Our seaport-related real estate accounts for over half our portfolio—including seven of the top 10 worldwide seaports. Our facilities support a diverse range of distribution network requirements for handling seaport cargo, including high-velocity cross-dock distribution, transloading, replenishment and storage.
AMB's established relationships with port authorities and terminal operators contribute to our strong position in all major North American seaports. We have a significant presence in Europe, where we hold leading positions in the strategically important ports of Hamburg and Rotterdam, and in Japan, where 90% of our portfolio is in seaport markets.
Air cargo traffic is expected to expand at an average annual rate exceeding 5% for the next two decades. AMB is the world's leading third-party owner/operator of air freight distribution real estate at and near major cargo and logistics airports. Our dedicated Global Airport Facilities Group specializes in acquiring, developing, designing, financing, leasing, managing and operating the largest and highest-quality network of air freight-related facilities in the world.
We offer properties uniquely designed to serve the airline, integrator, logistics, freight forwarding and air cargo handling industries. Our on-tarmac High Throughput Distribution® facilities are carefully planned to meet air cargo customers' specialized time-sensitive distribution needs.
AMB also offers extensive logistics experience, operational expertise and investment capital—all of which are required to design and deliver an air cargo operating platform to meet current and future demands of global trade.
In addition to airports and seaports, AMB's portfolio includes markets with highly developed transportation infrastructure and strong connections to global trade. These major inland logistics and distribution hubs—truck terminals, rail yards and intermodal centers—are important staging points for the exchange of goods across multiple types of transport throughout the Americas, Europe and Asia.