Tag: A-2

VGP Invests €25M in a New Logistics Park (80,000 m2) in Madrid

25 July 2018 – Eje Prime

VGP is going to build a new logistics park in the south of Madrid. The investment group is going to spend €25 million on the development of a macro-project on a plot of land measuring 80,000 m2 in Fuenlabrada. The buildability of the plot is 50,000 m2, according to reports by the company.

The logistics company has acquired a plot on the Callfersa Industrial Estate to expand the supply in the second ring of Madrid. In Fuenlabrada, there is currently 81,000 m2 of industrial surface area, which is fully occupied. Therefore, VGP’s operation, which has been advised by JLL, will double the stock of logistics land in the town.

VGP’s investment “will provide a solution to the lack of supply in the second ring of Madrid”, explains Pere Morcillo, Director of the Industrial and Logistics Area at JLL, who warns that companies “were finding hardly any available space in the area, especially if you take into account that VGP’s project is the only development that is planned in the area”.

During 2017, 800,253 m2 of logistics space was leased in Madrid; and this year, 850,000 m2 of logistics space is expected to be leased, according to data from CBRE. That firm highlights the areas around the A-2, A-1, A-4 and A-42 motorways as those with the most space to let.

Original story: Eje Prime

Translation: Carmel Drake

VGP Leases 16,000 m2 Warehouse in San Fernando de Henares to Rhenus

17 January 2018 – Cadena de Suministro

VGP has leased a warehouse measuring almost 16,000 m2 to Rhenus Logistics on its logistics park in the Madrilenian town of San Fernando de Henares, which is owned by the European real estate investment group VGP. The deal has been advised by the real estate consultancy JLL.

The operator will use the facility to provide services to various clients in the retail sector, as well as to other companies in the cold-food distribution segment, which means that VGP will have to adapt the original design of the warehouse to suit to the specific needs of both projects.

VGP’s logistics park is located in Corredor de Henares, a growing area that concentrates a large part of the logistics activity in the centre of the peninsula between Coslada and Guadalajara, and which forms part of the first logistics ring around the city of Madrid.

The park is located just five kilometres away from Barajas Airport, at the intersection between the A-2 motorway, which links Madrid with the city of Barcelona, and the M-50, one of the main ring-roads around Madrid and the outer ring of the capital’s metropolitan crown.

Original story: Cadena de Suministro

Translation: Carmel Drake

Prologis: Sales Grow By 16% In 2014

20 February 2015 – Cinco Días

The logistics space developer recorded sales of €37 million in 2014 and increased its leasable area by 31%.

Prologis, the multinational developer of industrial land increased its turnover in Spain by 16% to €37 million in 2014. The company improved its sales after investing €124 million in the country in one year.

Gustavo Cardozo, Vice President of Prologis and Director of the subsidiary in Spain stresses that “2014 was a very positive year” in which, he considers “we exceeded all market expectations”. Cardozo argues that Spain is attracting interest due to the “improvement in its image and in its economy”.

The company has had a presence in Spain since the end of the 1990s. In the last three years alone, it has invested a total of €160 million and 2014 was its busiest year. According to Cardozo, the market has been boosted by an improvement in the trade balance. “Spain is no longer a country where the domestic market comes first”. Through these acquisitions, Prologis has increased its portfolio by 152,000 square metres, representing an increase of 31%.

Prologis’ main focus of activity has been along the A-2 corridor, with Madrid and Barcelona as the primary targets. Nevertheless, according to Cardozo, the company is going to begin operating in other areas, starting with the south of the capital and the north of the Catalunian city.

“We are open to investing in wherever we see has a future”, explains Cardozo, who does not put any limit on the acquisitions that his company may undertake. Nevertheless, he considers that it will be “very complicated” to repeat the investment volume achieved last year since that was “an extraordinary period”.

In the acquisition sphere, Cardozo sees “increased competition” following the arrival of overseas investment funds. He states that Prologis will focus on tailoring its properties to the specific needs of its clients in Spain, as it has done in previous transactions, such as the one undertaken with TNT Express at the end of last year.

Spain accounts for barely 1.7% of the multinational (group’s turnover), although Cardozo believes that “it will continue to grow”. Prologis has a strong presence in USA, Asia and Europe and generates global turnover of $1,700 million (approx. €1,500 million). Moreover, although the group’s total sales grew last year, “Spain outperformed the average”. The increase in the group’s turnover was driven by improved rental prices.

Prologis closed 2014 with an occupancy rate of 84.9% across the almost 900,000 square metres of space it owns (in Spain). The objective of the company is to close this year with an occupancy rate of 90%. To this end, the launch of the Prologis Park San Fernando in San Fernando de Henares (Madrid) will play an important role.

Original story: Cinco Días (by Diego Larrouy)

Translation: Carmel Drake