Tag: storage

Gesvalt: Madrid’s Logistics Sector Grows For First Time Since 2009

13 February 2017 – Observatorio Inmobiliario

The leasing of industrial warehouses in the Community of Madrid increased in 2016 for the first time in eight years following a recession in the logistics sector. The evolution of the market in the region last year confirms the positive forecasts that experts predicted at the end of 2015. Nevertheless, it is worth noting that this increase in the volume of space leased in the logistics sector was mild and gradual over the whole period, according to the conclusions of the latest report from Gesvalt, a consultancy and asset valuation company.

Sandra Daza, Director General at Gesvalt, considers that “these are noteworthy figures because they are evidence of the reactivation of the sector, which will also undergo more changes over the next few years, due to the reactivation of consumption and the evolution of e-commerce”. In this sense, Daza forecasts that “we are going to see an increase in the supply of these types of industrial warehouses, especially in Madrid and Barcelona”.

In the province of Madrid, which has 43 industrial estate areas, the distribution of industrial space is divided as follows: 32% production, 22% storage, 12% logistics, 7% commercial and 27% business parks.

The extractive and manufacturing sectors are giving way to the drive from the storage and distribution sectors. Large firms dedicated to this activity are moving into the region and are demanding large surface areas, close to large populations and with access to fast roads. Nowadays, these types of assets are the star product in the logistics and industrial sector in Madrid. By contrast, investors have lost interest in smaller warehouses on old industrial estates and the few operations that are taking place are being closed at almost cost prices.

In 2017, the aforementioned change is expected to be consolidated, with slight increases in rents. Returns could reach 7% and a minimal increase is expected in the volume of operations.

Almost 50% of the investors that are operating in the industrial market in the region are domestic and international institutions, whilst the other half comprise Socimis and family offices. By contrast, large financial institutions are the main vendors of these types of products.

80% of the operations in the Community of Madrid in 2016 were located in the Corredor del Henares, although the volume of surface area leased was still low (150,000 m2).

The interest in the market for rental over sale, the scarcity of land in really attractive areas and the relative low rates of return (6%) confirm that although the recovery of the sector is underway, it still has a long way to go.

Within the Community of Madrid, the municipality with the greatest volume of industrial activity is Fuenlabrada, which accounts for 25% of the total and is home to 21 industrial estate areas.

The large Mercamadrid industrial estate, located in the industrial area of Villa de Vallecas, is the largest in the Community of Madrid (1,8000,000/2,000,0000 m²), followed by the Vicálvaro industrial estate, which is as big as the Cobo Calleja de Fuenlabrada estate (1,750,000/1,800,000 m²). (…).

Original story: Observatorio Inmobiliario

Translation: Carmel Drake

Mercadona Acquires Logistics Plot In Valencia For €24M

9 December 2016 – Expansión

The supermarket chain Mercadona is preparing to build a new logistics centre in Parc Sagunt, the largest industrial estate in the Community of Valencia, which is almost empty at the moment.

The firm has acquired a plot measuring 358,270 m2 for €24 million, on which it will construct a logistics block. The centre will not be used to supply the chain’s stores directly, like its existing centres, but will instead centralise the storage and distribution of products to the other logistics centres. It will be the first point of receipt for products that due to their nature require this kind of logistic management, for example, perishable goods, goods from the same supplier and goods imported through ports.

Sources at Mercadona explain that, for the time being, the definitive design for the centre and the total investment have not been defined.

The chain currently operates thirteen logistics centres and three satellite warehouses. In total, it has a surface area of 854,000 m2. In 2007, the company launched a strategy involving intelligent logistics centres, which kicked off with the construction of a centre in Ciempozuelos (Madrid) and was subsequently extended to include centres in Ribarroja (Valencia), Villadangos (León), Guadix (Granada) and Abrera (Barcelona). The final phases still need to be incorporated into this last block. Around €300 million has been invested to date.

In recent years, Mercadona has invested €700 million in its logistics platforms. It will open its next centre in Vitoria, whose first phase will be operational next year, following a €50 million investment.

Relief for Parc Sagunt

This operation was approved on Wednesday by the Board of Directors of Parc Sagunt, the property developer of the land that is jointly owned by the Generalitat Valenciana and the state owned company Sepi (50% each), which have invested €132 million. Mercadona’s arrival at the industrial estate represents a breath of fresh air for the space that had become something of a problem for the Administration. Even though the majority of the site has been completed since 2008, only three companies currently operate there and most of the land is still up for sale.

The plot that Mercadona has acquired is well known, given that in 2007, it was awarded to the Ros Casares group to open its major steel works Brava Steel, but that was never built. Now it has been sold for 41% less.

There are currently 26 other plots of land for sale and experts expect that, thanks to the arrival of Mercadona, demand for those plots will now increase, after years of paralysis.

Original story: Expansión (by J.B. and A.C.A)

Translation: Carmel Drake

Lidl Opens Its Largest European Logistics Centre In Madrid

26 September 2016 – Expansión

In Alcalá de Henares (Madrid) on Thursday, the German supermarket chain Lidl opened the first phase of what will be the group’s largest and most technologically advanced logistics platform in Europe. The project will be completed in 2018, when the centre will become fully operational.

With this infrastructure, the company is making a strong commitment to the Spanish market, where it has been operating since 1994. The firm’s total investment will exceed €70 million. Thus, the result will be a site with 61,000 sqm of storage space (45,000 sqm being opened now, plus 16,000 sqm to be added in the second phase), with an automated silo measuring more than 40m tall. This centre will be able to store 71,000 pallets. (…).

With the launch of this first phase of the logistics centre, Lidl has created 100 new jobs. That figure will increase to 275 by the time the platform becomes fully operational in 2018.

Fourth generation

Lidl also unveiled its new eco-sustainable store model in Coslada (Madrid) yesterday. It is the most sustainable supermarket in Spain. (…)

Original story: Expansión (by María Sánchez)

Translation: Carmel Drake

ECI Opens Logistics Platform In Tarragona

4 August 2016 – Logística Profesional

El Corte Inglés has opened a new logistics platform in the Tarragonese town of La Bisbal del Penedès. The facilities, located on a plot of land measuring more than 230,000 sqm, has a storage surface area of more than 45,000 sqm as a result of the first phase of construction, which has involved investment of almost €70 million.

The new platform, according to sources at the company, will serve to “complement” the storage and distribution centre that the Group has in Montornès del Vallès (Barcelona), with a surface area of 200,000 sqm.

The centre, which may be enlarged in the future, will serve to support the company’s activities in Cataluña, Aragón, Levante, Murcia and the Balearic Islands.

Besides its logistics centres in Cataluña, El Corte Inglés group owns another platform in Valdemoro (Madrid), whose storage surface area exceeds 500,000 sqm.

Original story: Logística Profesional

Translation: Carmel Drake

Prologis Buys Land In Valencia To Build 2 Logistics Warehouses

4 August 2016 – Mis Naves

Prologis Inc. has acquired land measuring 70,000 sqm in Valencia.

Prologis will build two leasable logistics buildings, measuring 23,000 sqm each, on the land and expects to begin construction during the third quarter of this year.

The land is located in the PLV de Ribarroja de Túria, a ideal location for the implementation of logistics activity. The two new properties will have cutting-edge facilities, including a minimum storage height of 11m, allowing them to increase storage volumes by 20% compared to a standard warehouse.

In addition, the warehouses will be equipped with LED lighting in the storerooms and offices, which will result in savings of around 40% in terms of electricity consumption, as well as the most efficient fire prevention system in the market.

“Our idea is to offer our clients a high quality product, based on design and efficiency, that highlights all of the features currently being offered in the logistics real estate market in Valencia”, said Cristian Oller, Director of Development and Projects at Prologis in Spain. “For us, this represents an interesting challenge to put into practice our model for the development of new buildings in a market as important for the logistics sector as Valencia”.

“We are very proud to return to Valencia and to start new developments in this market, which is becoming increasingly important in the logstics sector in Spain and Southern Europe”, said Gustavo Cardozo, Senior Vice-President at Prologis Iberia. “Our strategy for the next few years involves growing our business in Valencia and consolidating our position as a supplier of cutting-edge logistics warehouses in this market”.

The real estate consultancy Inmoking Real Estate was responsible for advising this operation. The marketing of the properties will be carried out jointly by the real estate agencies Inmoking Real Estate and BNP Paribas Real Estate.

Original story: Mis Naves

Translation: Carmel Drake

Amazon To Double The Size Of Its Logistics Centre In Madrid

19 November 2015 – Expansión

The US giant Amazon is going to double the surface area of its logistics centre in San Fernando de Henares, Madrid, to 75,000 m2.

Today, Amazon will begin construction of a new warehouse measuring more then 45,000 m2 in San Fernando de Henares, Madrid, adjacent to its current logistics facilities at the site. (…).

The new centre, which will serve customers all over Europe, will begin shipping orders in Q2 2016. (…).

The centre currently occupies a surface area of 32,000 m2, although its storage capacity amounts to 70,000 m2, thanks to the construction of towers that have allowed it to optimise the space. The last of these towers, which added an additional 12,000 m2 of space, was constructed to support Amazon’s entry into the food and cleaning sector this autumn. (…).

Warehouse in Barcelona

Amazon’s logistics capacity in Spain may be further extended with the construction of a warehouse in Barcelona, which will also serve customers all over Europe, especially in the South of the continent. The electronic retail company has submitted a non-binding offer, amounting to €30 million plus IVA, for a site measuring 150,808 m2 in the Mas Blau II industrial estate, in El Prat, which currently belongs to Institut Català del Sòl (Incasòl).

Original story: Expansión (by M. Prieto)

Translation: Carmel Drake