Panattoni to invest €1.2 billion in City Logistics projects across Europe
Panattoni Europe, a market leader in industrial real estate, has announced investments worth €1.2 billion in City Logistics projects – facilities built within city limits dedicated to the so-called “last mile”. Already today in Poland, four such parks are under development, totalling €65 million in value, and the most recent development – City Logistics Warsaw has already secured its first tenant. It is Frisco.pl – the online supermarket. In the space of three years, the developer will systematically pursue successive markets, including Germany, the United Kingdom and the Czech Republic.
Following the developer’s success in building state-of-the-art distribution hubs, the time has come for smaller facilities located on the outskirts of cities – City Logistics Parks. The most recent product from Panattoni is delivered across Europe as a “last mile” delivery solution, dedicated mainly to online order fulfilment processes. In Poland, the developer has just launched its fourth project – City Logistics Warsaw featuring 26,000 sqm, and its first tenant is the online supermarket Frisco.pl. The remaining City Logistics Parks – City Logistics Wrocław I, Łódź I and Warsaw Airport are under development with an occupancy rate currently in the range of 60 percent. To date, the developer has invested €65 million in the new concept. In the future, this figure is set to grow to €1.2 billion, and will include projects in Germany, UK and Czech markets.
Robert Dobrzycki, Chief Executive Officer Europe, Panattoni Europe predicts: “By the end of this year, we will have delivered approx. 150,000 sqm in City Logistics Parks, focusing on the Polish market. We are planning to expand our portfolio to include in-city facilities in Germany, the UK and the Czech Republic in early 2019, and we will be allocating €400 million every year to these projects, totalling €1.2 billion over the next 3 years.” Irrefutable proof of existence. The presence of Frisco.pl, Warsaw’s leading online supermarket, at City Logistics Warsaw proves the merit of the developer’s carefully implemented strategy, exceeding client expectations and setting market trends. The latest 26,000 sqm investment is based in the industrial part of the Bielany district of Warsaw, at ul. Estrady – the attractive location, well communicated with the city centre and exit routes, is a definite advantage of this project.
The facility is dedicated to tenants delivering to the capital city, particularly online purchases, which is confirmed by Grzegorz Bielecki, Management Board Member Frisco.pl: “Our decision to go ahead with the investment was influenced primarily by the dynamic growth in the scale of our business over the past few years, as well as the enormous growth potential of the entire e-grocery market in Poland. Already, one in 7 Polish internet users regularly buys groceries online, and according to projections the market is set to grow at 15-20 percent a year. Forward-looking activities and innovation are intended to enable us to consistently expand the scale of our business, and so our new warehouse will employ the latest industry and logistics solutions.”
At City Logistics Warsaw, Frisco.pl will take up 11,000 sqm – a little over 800 sqm will be earmarked for social and office space, and the remainder with in excess of 10,000 sqm will be fitted out as a warehouse adapted to the needs of FMCG, which will process online orders. It will feature separate sections dedicated to the freezer and cold store, as well as a non-perishable dry goods storage section. The entire facility will be fitted with LED lighting, and the space leased by Frisco.pl will undergo HACCP (Hazard Analysis and Critical Control Points) implementation. The objective of the HACCP system is to ensure food safety by identifying and estimating the scale of exposures in terms of food health requirements. To accommodate the tenant, the project will also feature a ramp for vans and a car park with 162 spaces. The tenant will move into the facility before the end of the year.