Build-to-Rent Delivery Volumes Double Placing Stress on Building Services

• Delivery volumes increase by 100% compared to pre-pandemic levels.
• Number of parcels received per month reach average of 5.2 per unit.
• Concierge handle 50.4k parcel interactions annually in 400 unit building.
• Number of couriers in BTR marketplace increases by 110%.

Parcel SafePlace, a parcel logistics service that provides secure and convenient deliveries for residents while enhancing operational efficiency for property managers, has released data from across its portfolio to reveal the impact of continued growth in delivery volumes year-on-year.  The Build-to-Rent (BTR) sectorhas witnessed an overall 100% increase in deliveries compared to pre-pandemic levels, meaning a 400-unit building will now have to deal with over 12.8k more parcels annually than 4 years ago.

Comparing annual data from 2019 through to 2023 across a total of 7,374 BTR residential units, Parcel SafePlace has revealed that the number of packages received per month has doubled since 2019 reaching an average of 5.2 packages delivered per unit. This increase highlights changing consumer behaviours, particularly the adoption of online shopping and continued home delivery services post pandemic.

This growth in deliveries has placed an unprecedented demand on building concierge services today when looking at the scale of the deliveries, for example a 400 unit building today will need to deal with 50.4k annual parcel interactions from pickup to delivery for its residents, prompting significant need for innovation in parcel management logistics to control the influx of parcels effectively.

The amount of couriers we have registered in the BTR marketplace has also increased by 110%, with notable shifts in the distribution landscape. Amazon’s market share has increased by 7%, indicating its dominance in the e-commerce space, while Royal Mail’s market share has decreased overall by -23%.

Dustin Fjeld, CEO and Founder of Parcel SafePlace, said: “Over the space of four years, we’ve witnessed a fundamental shift in how residents receive goods and services.  The growth in delivery volumes reflect the increased demand for convenience and flexibility in today’s fast-paced world.  But it’s the scale of these shifts that need to be considered when developing the next generation of BTR housing.  Amenities such as post rooms and concierge areas need to be able to cater for volume. 

“Already lockers are becoming obsolete, only being able to cater to smaller volumes of deliveries, a concierge servicing a 400-unit building needs to manage an average of 138.4 daily parcel interactions.  By looking at the data we know dedicated parcel rooms with advanced technology are the only way to stay ahead of the curve, and provide the best solution to the growing mountain of parcels being processed daily.”

Chris Payne, Vice President of Operations at Realstar Group, added: “Our priority is to provide our residents with best-in-class amenities and services, by investing in robust parcel management solutions we can ensure that our buildings remain at the forefront of the BTR market, delivering exceptional living experiences to our residents.  As more people choose the convenience of online shopping, it’s imperative that we adapt our services to meet their expectations and ensure a seamless living experience.”

As the BTR sector continues to evolve in response to changing consumer behaviours, operators need to be poised to design amenities based on real data and embrace new technologies and strategies to meet the growing demand for convenient, efficient parcel management solutions.