Real Estate in Vanuatu: The Dark Store Phenomenon

Published on October 4, 2025 and written by Cyril Jarnias

Located in the heart of the Pacific Ocean, Vanuatu is attracting increasing attention, not only for its picturesque landscapes but also for its booming real estate market. In this context, an emerging phenomenon is beginning to gain ground: “dark stores”, these distribution warehouses situated in strategic urban neighborhoods designed to meet the growing demand for quick delivery services.

While some see these facilities as a necessary innovation for the digital economy, others worry about the potential impacts on the urban fabric and local commerce. This article explores how this phenomenon is taking root in this island paradise, revealing the opportunities and challenges it creates for real estate sector players and Vanuatu residents.

“Dark Stores”: Revolutionizing Urban Real Estate in Vanuatu

The emergence of “dark stores” in Vanuatu is a recent manifestation of the transformation of urban commerce, driven by the meteoric rise of online shopping and evolving consumer expectations regarding speed and convenience. These commercial spaces, closed to the public, are exclusively dedicated to storing and preparing orders placed online.

Factors Driving the Emergence of Dark Stores in Vanuatu:

• Acceleration of local e-commerce following recent health restrictions and increased internet usage.
• Growing expectation for quick deliveries (quick commerce model) in urban centers like Port-Vila or Luganville.
• Sustained urbanization leading to demographic density that favors decentralized logistical development.
• High operating costs for traditional stores encouraging the conversion of some unprofitable commercial premises into modern logistics hubs.

Transformation of Urban Real Estate:

Dark stores are profoundly altering the urban landscape:

• Repurposing of former stores, warehouses, or vacant spaces in central neighborhoods for strictly logistical use.
• Potential decrease in the number of spaces open to the public in city centers but land optimization through rapid stock rotation and intensive 24/7 use.
• Possible increase in rental value for certain types of properties suited to this model (excellent accessibility, parking).

Real Estate Transformation	Immediate Impact	Long-Term Effect
Commercial Recycling	Fewer active storefronts	Increased economic dynamism
Pressure on Central Land	Rise in specific rents	Accelerated urban mutation
Flexible Use (pop-up hubs)	Rapid adaptation	Emergence of new mixed uses

Economic and Social Advantages:

Economic:

• Reduction in operational costs for local e-commerce players
• Generation of specialized jobs in urban logistics
• Optimization of the last mile, potential reduction in delays

Social:

• Perceived improvement in customer service due to speed
• Increased accessibility for isolated or less mobile populations

Reported Disadvantages:

For Residents:

• Potential feeling of local commercial impoverishment with the gradual disappearance of visible traditional stores
• Occasional increase in utility traffic (frequent deliveries)

For Traditional Stores:

• Direct competition difficult to sustain without digital adaptation
• Potential loss of pedestrian appeal in certain shopping streets

For Local Authorities:

• Urgent need to adapt the urban regulatory framework to govern these new real estate uses
• Complex management between dynamic economic needs and social/urban preservation

International Comparisons:

In several developed countries where this model is mature (France, United Kingdom), we observe:

Country	Implementation Level	Major Reactions
France	Very High	Increased regulation; public debates
United Kingdom	Advanced	Regulated integration; gradual adaptation
Australia/NZ	Growing	Incentive/logistical policies

Vanuatu is thus following a similar pattern but with a time lag. Major cities are seeing these structures emerge primarily where commercial land still allows for this rapid transformation.

Future Forecasts for Vanuatu:

The progression is expected to intensify under the combined effect:

• Of the continuous expansion of national e-commerce,
• Of the expected strengthening of digital infrastructure,
• And potentially through proactive adaptation to the urban challenges raised elsewhere.

In the long run, if this trend is confirmed without regulatory adjustments or comprehensive reflection on the traditional commercial fabric, it could durably reshape not only urban real estate but also local commercial life.

Logistics Real Estate Serving Quick Delivery

The rise of dark stores, or urban warehouses dedicated exclusively to the rapid processing of online orders, is transforming the logistics supply chain in Vanuatu. These facilities, located in close proximity to urban and tourist centers like Port Vila, enable meeting the growing demand for fast and flexible deliveries. Dark stores optimize stock management and significantly reduce last-mile delivery times.

Examples of Local Adaptation:

• Several food distribution companies have converted part of their traditional commercial spaces into mini urban warehouses to speed up order preparation and dispatch.
• Operators specializing in tourist e-commerce have installed logistics hubs near the waterfront to guarantee express delivery to visitors during their stay.
• Facing challenges posed by recent natural disasters, some local companies have pooled their logistical resources in these new shared warehouses to ensure service continuity even during major disruptions.

Impact on the Local Real Estate Market:

Opportunities	Challenges
Creation of a new class of real estate assets (urban warehouses) sought by investors	Increased pressure on already scarce urban land
Rapid appreciation of industrial zones near the city center	Problems of landscape and architectural integration
Diversification of the real estate portfolio with potentially higher rental yields than traditional stores	Risks related to the rapid evolution of technological needs (increased digitalization)

Testimonials/Case Studies:

“After converting our former central supermarket into a logistics hub dedicated to food e-commerce, we have reduced our average delivery times in Port Vila to less than two hours. This has been decisive for retaining our local clientele but also for capturing a demanding tourist clientele,” explains a local logistics manager.

Specific Challenges Encountered:

• Environmental Impact: multiplication of light utility traffic in city centers; need to invest in electric or hybrid fleets to limit nuisances.
• Urban Integration: sometimes difficult transformation of the landscape with the massive implantation of technical spaces; growing need for dialogue with local communities so that these infrastructures integrate harmoniously into the existing fabric.
• Resilience to Natural Disasters: reinforced design (anti-seismic/cyclonic standards), temporary pooling after a disaster.

Influence on the Local Economy:

Modern logistics infrastructure directly stimulates several economic sectors:

• Acceleration of local digital commerce
• Increased professionalization in transport/storage
• Direct/indirect creation of skilled jobs

They also promote post-disaster economic resilience thanks to their flexible capacity to quickly absorb a sudden peak or temporarily redirect trade flows.

Forecasts for the Future:

With the expected continuation of incentive policies and the continuous growth forecast for 2025–2031 despite some recent cyclical slowdowns linked to major natural disasters, the real estate sector related to urban logistics should continue its ascent. Investments will focus particularly on:

• Increased automation (robotics/intelligent logistics)
• Vertical densification where horizontal land remains limited
• Sustainable development via low-energy buildings

Logistics real estate today represents a major strategic lever not only to support the digital boom but also to strengthen economic resilience in the face of natural hazards that regularly mark Vanuatu.

E-commerce Investments: An Asset for the Vanuatu Market

A dark store is a warehouse dedicated exclusively to preparing and shipping orders placed online, with no direct public access. Unlike traditional stores, these spaces are organized to optimize logistics and accelerate delivery, often in less than fifteen minutes in dense urban areas. Products are stored on shelves like in a supermarket but are intended only for logistics teams or click & collect.

Potential Impact on the Vanuatu Real Estate Market:

• Repurposing of vacant or underutilized commercial premises (for example, former physical stores) into dark stores.
• Increased demand for warehouses located in immediate proximity to urban centers to optimize delivery times.
• Potential appreciation of industrial land near main cities.

Type of Space	Expected Evolution with E-commerce
Central Commercial Premises	Possible conversion into dark stores or pickup points
Peripheral Warehouses	Increased demand for storage/logistics

The rise of e-commerce thus generates a new real estate dynamic: some spaces traditionally dedicated to retail could see their use evolve towards storage and rapid logistics.

Economic Opportunities and Local Employment:

• Direct job creation in the following areas:
  • Logistics (order pickers)
  • Urban delivery
  • IT management/maintenance
• Spillover effect on associated services (security, maintenance, digital infrastructure)
• Development of new local skills related to digital and automation

Challenges Related to Urban Integration:

• Increased need for road infrastructure adapted to frequent quick delivery flows
• Adaptation of the urban plan: management of additional traffic generated by delivery personnel
• Potential problems:
  • Noise nuisances/continuous nighttime operation
  • Necessary energy optimization to limit environmental impact

Inspiring Examples from the South Pacific:

Region	Initiative	Possible Lessons
Australia	Woolworths Metro60	Express delivery via dark stores
New Zealand	Countdown eStore	Innovative centralized platforms

These initiatives demonstrate that local adaptation is possible even in fragmented island markets: regional logistics pooling, gradual development through pilot stages around major agglomerations.

E-commerce investments therefore offer a major opportunity to strengthen Vanuatu’s economic resilience:

They allow for structural diversification away from solely tourism or the primary sector, stimulate local technological innovation while improving access to essential goods for all. By reducing dependence on a few traditional sectors vulnerable to external shocks, Vanuatu can build a more agile economy to face future challenges.