Coffee with Craig Show – daily CRE news covering the CEE region, Thursday, November 10, with Winston Norman, Editor and Chief of EuropaProperty.com.
€151 billion heading for European living sectors
Knight Frank has revealed that investors in the Student Housing, Multifamily and Seniors Housing markets across Europe are planning to significantly increase their exposure and activity over the next five years.
Surveying 44 institutional investors currently active in the European Living sectors Knight Frank found that collectively the respondents planned to commit an additional €151 billion into the European Living sectors by 2027. This represents a 115 percent projected increase compared to the €70 billion currently invested.
Stuart Osborn, Head of European Residential Investment at Knight Frank said: “The Living sectors perform robustly during times of economic turbulence; as we face a potentially challenging macroeconomic backdrop next year, investors are looking to increase their exposure in counter-cyclical sectors with defensive dynamics.”
Oliver Knight, Head of Residential Development Research at Knight Frank, added: “While investor interest in Living assets across Europe remains strong, current macroeconomic and geopolitical pressures mean activity will remain subdued in the final quarter of the year before picking up in the first half of 2023.”
Romanian developer Forty Management has sold out the Central District Viitorului 134 residential project. The Bucharest-based complex project includes 40 apartments divided into two buildings, an office and a commercial space of 1,000 sqm.
“This is the fifth consecutive project sold out before handover to the beneficiaries, a unique performance on the Romanian market that we steadily recorded for a long time, not by chance,” said Ana Ciobanu, Executive Manager of Forty Management.
“We believe that such a residential compound, offering a high quality of living and the comfort of a quiet community, right in the centre of Bucharest, with access to all urban infrastructure, will be a winning formula in the years to come, regardless of the global economic context,” added Lucian Azoiței, CEO Forty Management.
GLP starts construction of warehouse at Kraków Airport
GLP announced that the last building developed at its Kraków Airport Logistics Centre, near Kraków, will have Cummins as its main customer. The $10 million investment, due to open in late 2023, will be the new base for Cummins Poland, which will also be home to its main operational facility in the country.
GLP Kraków Airport Logistics Centre offers a total of 174,000 sqm of logistics and light industrial space.
Artur Szczepaniak, Senior Technical Development Manager at GLP, commented: “Located near Kraków, our park is an ideal solution for businesses that combine manufacturing or maintenance operations with office work or customer service.”
LX Pantos exceeds 50,000 sqm at Panattoni Park Wrocław XIII
Panattoni has developed around 130,000 sqm for LX Pantos in Poland to date. Recently, the Korean logistics operator has increased the space it occupies within Panattoni Park Wrocław XIII to 50,000 sqm.
Poland and South Korea have had a strategic partnership for 9 years now. Companies from Asia are increasingly willing to locate their investments in the centre of Europe, moving their operations closer to the final customer.
“In 2021, Korea was among the 10 countries from which Poland imports the most. The intensity of trade is a motivation for the development of companies from this Asian country precisely in our region. This is confirmed by LX Pantos, which feels increasingly comfortable in Lower Silesia, increasing the volumes of electronics and electromobility products handled”, says Damian Kowalczyk, Development Director of Panattoni.
New warehouse for Rohlig Suus Logistics in Wielkopolska province
Rohlig Suus Logistics, a Polish logistics operator, has a new modern warehouse in Tarnowo Podgórne with a surface area of more than 36,000 sqm.
The new facility will perform the role of a logistics warehouse and modern cross-dock handling terminal providing customers with a comprehensive full supply chain service. The warehouse holds a BREEAM Excellent certificate
“The new warehouse is our response to a growing demand for comprehensive logistics services in Wielkopolska Province,” says Katarzyna Rusin, a director of Rohlig Suus Logistics branch in Tarnowo Podgórne.