Re: COLD and the need for more cold storage in the "Last-Mile" Grocery delivery race
Walmart Still Undercuts Amazon On Food Prices As Last-Mile Grocery Race Intensifies
Amazon's big move to roll out same-day grocery delivery across 1,000 new cities - on track for 2,300 by year-end - puts Instacart and traditional grocery chains squarely in the crosshairs. But the real shocker isn't Amazon's new expanded reach; it's that Walmart still reigns supreme as the lowest-cost grocer, setting the stage for an intensifying last-mile grocery war. News last week ( read here) of Amazon expanding its same-day grocery delivery across a thousand more cities by the end of the year sent Instacart (CART) and DoorDash (DASH) shares tumbling. Goldman analysts forecast that millions of Prime members will flock to the service as it becomes available in their respective areas. With Amazon looking at doubling their next day grocery delivery to over 2,300 cities by year end, will the demand for cold storage warhouse space increase?
...the company has been trying for years to figure out how to profitably sell fresh food, starting and killing a range of initiatives.
Amazon owns Whole Foods Market, the organic grocer. Amazon recently began exerting more control over the chain, largely ending its independence. Jason Buechel, the Whole Foods chief executive officer named Amazon’s grocery chief in January, said in a memo that the prior structure led to duplicative efforts and failed to make the most of employees.
What's the best direct play for this expanding market? AMZN, WMT, KR, SFM or maybe there is a play in the REIT sector
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Key Direct REIT Plays - While there are no pure-play cold storage REITs listed on U.S. exchanges as of August 2025, several industrial REITs own substantial cold storage assets, and some private or non-listed REITs focus on this niche. Examples include:
- Industrial REITs with last-mile exposure: Prologis, Duke Realty, EastGroup Properties.
- REITs with major grocery/logistics tenant rosters: Americold Realty Trust (privately held but one of the world’s biggest cold storage operators).
- Grocery-anchored retail REITs: Kimco Realty, Regency Centers, Brixmor Property Group.
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