Leasing of industrial and logistics space in the first quarter of 2022 increased by 50% compared to the same period last year, exceeding the 300,000 square meter threshold, a new record year for this type of demand. The site has been created. Space according to Cushman & Wakefield Echinox’s real estate consultancy.
This strong demand in the first quarter has been in the past two, as more than 85% of the transaction volume from January to March 2022 was related to new space and only 15% represented the renewal of existing contracts. Maintaining the positive evolution of the industry and logistics segment over the years. ..
Retail and e-commerce companies are the most active, accounting for 35% of total rental space, followed by logistics and distribution and automobiles, which account for 15% and 10% of total contracted area, respectively.
It should be noted that Q1 demand is no longer concentrated around Bucharest, which has traditionally attracted more than 50% of trading volume. On this occasion, Bucharest accounted for 35% of total demand, with 29% of the leased area in Ploiesti, 8.3% in Slatina and 8% in Arad.
In terms of new supply, there was a significant increase in the first quarter. This is supported by both positive demand growth and rising winter temperatures. Therefore, about 180,000 square meters of new space was offered in the first quarter, a significant increase compared to the first quarter of 2021, when only 30,000 square meters were completed.
CTP, WDP, and Globalworth-Global Vision provided the most important projects at the analyzed intervals in Bucharest, Karan (Hunedoara County), and Constanta. The vacancy rate was 4.7% in Bucharest and 3.8% at the national level.
Andrei Brînzea, Partner Land & Industrial Agency Cushman & Wakefield Echinox: “The industrial and logistics markets are at their best in history, despite complex economic, social and geopolitical conditions. Retail transformation, e-commerce development, location expansion and diversity. Reducing the risks associated with distribution chain disruptions, as well as concerns about the transformation, is a major driver of demand not only in Romania but also in Central and Eastern Europe. High demand for such spaces is under construction. It is also evidenced by the fact that more than 50% of our projects are already pre-leased. “
A total of more than 500,000 square meters of projects are currently under construction in various cities across the country. Bucharest remains a preferred destination for developers, with 50% of the projects offered around the capital, and Timisoara, Brasov, Arad and Sibiu also benefiting from the new space.
https://www.romaniajournal.ro/business/demand-for-industrial-and-logistics-spaces-increased-by-50-in-the-first-quarter/ Demand for industrial and logistics spaces increased by 50% in the first quarter – Romanian Journal