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Bungalow is better, yes, sweatshop also is, arguably (no loading dock hurts), but having bungalow + sweatshop + storage unit is the best. :P
What's the point? Every other lot other than the sweatshop has loading bays itself where you can just buy supplies and have it delivered there again if it gets raided.
I didn't say they were supposed to replace each other, I'm saying it's a pain to use the sweatshop and storage lot because you have to be there to package supplies if you want to use them to produce anything, I understand the sweatshop being 1 employee because it's small time but considering the storage lot is just 1k cheaper than the bungalow it should have at least 2 employees to be able to automate it.
The new storage lot has a lot more space than the sweatshop for you to do more in but you'll be doing the majority yourself since it only allows one employee.