19 May 2017 – Expansion
P3, the company specialising in the ownership, development and management of logistics assets, wants to take advantage of the support being offered by its new owner, the sovereign fund Singapore GIC, to lead the logistics market in Spain and establish itself as one of the country’s leading developers and investors in this segment.
The company, which operates under the commercial name P3 Logistics Parks, currently owns a portfolio of assets covering 400,000 m2 in Spain, after it purchased eleven logistics warehouses in April. P3 is planning to finish the year with 500,000 m2 under management, according to the CEO of the company in Spain, David Marquina.
“We want to become one of the main suppliers of logistics space over the next three years. Specialisation and a long-term outlook are our mantras”, he said.
To this end, P3 has just opened an office in Madrid and has a team there analysing opportunities. The group specialises in closing off-market operations.
The firm wants to strengthen its two business lines in the country: investment in rental assets and the construction of turnkey projects for clients. “We are analysing both the purchase of companies that own logistics assets, as well as the acquisition of portfolios and individual properties to grow in size”.
Similarly, as part of its expansion plan, P3 is considering expanding its operations into Portugal. The company, which was created in 2002 in Prague and which quickly began its expansion into central and Western Europe, owns a portfolio containing 170 logistics warehouses and parks in 11 countries across Europe, spanning a total surface area of 3.5 million m2 and with a land bank covering more than 1.8 million m2 for development.
“Germany, France and other countries where we have had a more limited exposure until now, such as Italy and Spain, are strategic markets for the group”.
In Spain, P3 has a presence in the central logistics corridor, which connects Madrid, Zaragoza and Barcelona, and it wants to strengthen its presence in the Mediterranean corridor.
The director highlights that 98% of its assets are leased through rental contracts that have an average term of 6.2 years.
For Marquina, the economic recovery and political stability have allowed investors to be interested in Spain, which is firmly back on the investment map. “After the crisis, real estate and logistics development was left paralysed. The stock became obsolete and out-dated. Over the last four years, liquidity has increased in the market and there has been a compression in yields, but there is still a long way to go”, he said.
Original story: Expansión (by Rebeca Arroyo)
Translation: Carmel Drake