Securing a proper level of destination accessibility is one of the critical elements a logistics facility operator would consider when making facility location decisions. In a strict regulatory environment, e.g., a jurisdictional quota system, logistics firms would have to compromise destination accessibility to comply with the regulations. Would less stringent regulations lead to improved destination accessibility? I hypothesize development regulations influence logistics facility decisions. I also hypothesize changes in the regulatory environment will lead to changes in destination accessibility.
In this research, I examine the effect of national logistics facility development regulations in the Seoul Metropolitan Area in South Korea. I first examine the changes in destination accessibility over time between warehouses and consumer markets (population, employment, and large freight generators). I also conducted semi-structured interviews with multiple logistics facility operators, warehouse developers, and university professors to understand the specific contexts of logistics facility development before and after regulatory revisions in the study area and verify the proposed hypotheses. Two regulations are reviewed: one that strictly limits the total area of logistics facilities per jurisdiction (1998-2014), and another that grants a development permit after demand assessments (2014-present). The latter does not maintain a jurisdictional quota. I use the Korea Building Registry to identify existing warehouses built from 1960 to the present.
Results suggest a significant reduction in destination accessibility over time, with its lowest level recorded in 2008 when the global financial crisis hit real estate markets. Beyond the point, destination accessibility has continued to be improved. Interview results suggest market forces have been far more significant than regulatory forces with a nuanced context, specific in the study area.
Mots clés : warehouse|location choice|accessibility|regulation|market
A104097SK