Panattoni Europe with Massive Pipeline of Logistics Projects

5 January 2020 According to a study by PropertyEU, Panattoni Europe built the largest area of logistics facilities in Europe between the period running from 2016 to 2018, coming out on top in each of those years. The firm completed projects totalling 5,300,000 m² in the countries of Poland, the Czech Republic, Germany and the United Kingdom.

Furthermore, 35% are dedicated to e-commerce, while another 25% include highly advanced manufacturing facilities. Panattoni has clients such as Amazon, Arvato, Coty, DSV, H&M, Leroy Merlin and Tesco.

Additionally, Panattoni’s pipeline up to 2021 includes a total of 23,682,000 m² of space, well above the next two largest developers, Prologis (3,428,000 m²) and Segro (3,375,000 m²).

Según un estudio realizado por PropertyEU, Panattoni Europe construyó el área más grande de instalaciones logísticas en Europa entre el período comprendido entre 2016 y 2018, y se destacó en cada uno de esos años. La firma completó proyectos por un total de 5,300,000 m² en los países de Polonia, la República Checa, Alemania y el Reino Unido.

De ellos, el 35% se dedica al comercio electrónico, mientras que otro 25% incluye instalaciones de fabricación altamente avanzadas. Panattoni tiene clientes como Amazon, Arvato, Coty, DSV, H&M, Leroy Merlin y Tesco.

El gasoducto de Panattoni hasta 2021 incluye un total de 23,682,000 m² de espacio, muy por encima de los siguientes dos desarrolladores más grandes, Prologis (3,428,000 m²) y Segro (3,375,000 m²).

Original Story:

Translation/Summary: Richard D. Turner

Madrid and Barcelona to Receive 1.1 Million Square Meters of Logistical Facilities in 2018

26 March 2018

In the Spanish capital, 70% of the area under development is being built on a speculative basis, without having a pre-negotiated end-user; in Barcelona, the situation is the reverse.

The logistics sector in Spain is experiencing another period of heady growth. In 2017, the sector saw a historic high of 1.5 billion euros in investments, while also setting records in terms of allocated area, with the market taking on more than 1.5 million square meters. The year-on-year growth rate of 85%, together with rosy projections, has awoken the interest of many major real estate players, particularly investment funds, which are already working to provide operators with more space. Just this year, 1.18 million square meters of space dedicated to the logistics sector will be delivered in Madrid and Barcelona, according to a report by the consultancy JLL.

The rise of e-commerce and the improvement in the Spanish economy have led to heightened demand, reducing the available amount of business parks and logistical facilities. This is particularly the case in Spain’s two largest cities. In Madrid, the vacancy rate stands at 4.21%, despite a rebound in the last quarter of 2017 through the addition of new areas in the capital. In Barcelona, the situation is even more complicated, and the vacancy rate for logistical areas has fallen to 3.2%.

In both cities, therefore, high demand has led funds and socimis to develop new industrial facilities that will allow the market to continue growing. In the Spanish capital, of the 744,500 square meters that will be delivered this year, 70% has not yet been allocated. Only a third of the industrial facilities and lands that will be inaugurated during the next months already have tenants. This figure demonstrates that market players expect demand to continue to grow throughout the year.

Amazon, which will increase its presence in Spain this year, is a highlight of some of the deals going on in Madrid. The American e-commerce giant is developing its own facility, occupying 103,000 square meters in the capital, where it already has a presence in the Los Gavilanes industrial estate, in Getafe, and in Alcobendas. FM Logística, with 40,000 square meters of area, as well as Jaguar and its 15,000-square-meter facility, are also stand out transactions in Madrid’s logistics market.

Meanwhile, in Barcelona, the situation is the opposite of that of Madrid. In Catalonia’s capital, most of the logistics facilities already have tenants. 80% of the 441,200 square meters that will be delivered in 2018 in Barcelona, for own use or for lease to third parties, are developed with pre-negotiated contracts, despite the limited supply in the metropolis.

Amazon has also considered Catalonia for its expansion plans in Spain. The company is preparing 200,000 square meters of total surface area for use in Barcelona, one of the multinational’s key outposts in southern Europe. Last October, the firm inaugurated a logistical facility in El Prat de Llobregat. Markwins International will also inaugurate an 8,000-square-meter logistics project in the city.

Under this scenario, a survey of thirty investors in the sector, conducted by JLL, highlighted the fact that, faced with a shortage of product in the current market, 98% of respondents are considering the possibility of developing new warehouses in Spain, especially in existing logistical areas.

Barcelona, with 228,345 square meters of available facilities, has seen its logistics market expand its focus to locations such as Martorelles and Sant Esteve de Sesrovires. The first one, in the north of the Catalan capital, is a clear example of the trend, with notable growth in logistics areas in recent years. An example is the arrival of Amazon in the logistics park that Segro, a British fund, has in the municipality. Coincidentally, Segro also acquired two logistics facilities in Sant Esteve de Sesrovires, south of Barcelona.

“The logistics sector is demonstrating some solid fundamentals that give it enormous potential,” stressed Gustavo Rodríguez, JLL’s director of the logistics in Spain, who also stated that “international investors began focusing on the sector last year.” This is because, among other reasons, “our country has unique opportunities compared to other more consolidated markets, where returns are lower.” “Rents, as well as asset values, are increasing, but are still far from historic highs, so investors see opportunities,” the executive added.

Original Story: EjePrime – J. Izquierdo

Translation: Richard Turner

Goodman to Develop 130,000m2+ of Logisics Space in Spain in 2018

14 December 2017 – Eje Prime

Goodman Group, one of the leading specialists in the development and management of logistics space in the world, is strengthening its commitment to Spain. Taking advantage of the improvement in the sector, which is growing at a rate of 20% p.a., driven by the strong performance of the country’s economy, the company plans to develop more than 130,000 m2 of logistics space in Madrid and Barcelona in 2018, according to a statement issued by the firm.

“Currently, the occupancy rate of Goodman’s assets in Spain is 100% of its portfolio, approximately 3% higher than the average recorded in Madrid and Barcelona, the two regions with the highest demand for logistics facilities”, says the group.

This year, the logistics company has developed more than 41,000 m2 of new logistics space and has signed lease contracts for more than 25,000 m2.

One of the locations where the manager has worked the most is Can Margarit Logistics Center, in Sant Esteve Sesrovires (Barcelona), where, in the last two years alone, it has completed the development of more than 85,000 m2 of logistics space. The site is home to the French sports equipment retail chain Decathlon, amongst others.

Next year, Goodman will develop 19,850 m2 of new land for the sector in the Zona Franca area of the Port of Barcelona, of which 9,500 m2 will be available from June onwards.

Meanwhile, in Madrid, the company plans to launch the construction of a logistics plant measuring 34,000 m2 in Vicálvaro at the beginning of 2018, as well as the development of a 75,000 m2 platform in Alcalá de Henares.

Currently, the Goodman Group is present in Continental Europe, the UK, the Asia-Pacific region, North America and Brazil and has a portfolio of assets under management worth €22.6 billion.

Original story: Eje Prime

Translation: Carmel Drake