Frontier Estates, a notable European developer, intends to substantially improve the efficiency of storage, sales, office space and logistics for medium-sized e-commerce, light-production and tech clients in the Lower Silesia region with its unique commercial real estate development in Bielany Wrocłwskie.
Frontier Park Wroclaw will be the first development by Frontier Estates in Poland and a benchmark for future schemes. Frontier Park Wroclaw will comprise around 8,900 sqm of flexible warehouse and business space with exceptional glazed front façade allowing for retail showroom and office function, within up to twelve units (from 284 to 2,334 sqm each). The building permit has been already obtained and the construction works are scheduled to be commenced in April 2021.
The strategy assumes standardized specification that will be multiplied in numerous locations across Poland, creating a recognizable network of small business units’ projects available for lease and forward sale in Warsaw, Krakow, Lodz, Wroclaw, Poznan, Katowice, Gdansk, Szczecin, Rzeszow and Lublin.
“As an experienced industrial developer in the UK, where over 40 schemes have been developed, Frontier Estates sees the potential for utilizing our know-how in Poland. The Frontier’s concept assumes the development of one or more buildings per plot in superb locations that will provide a high quality of warehouse, showroom, retail and office space. The multiplicity of the units can create a synergy effect between the occupiers improving the potential of the property and offer substantial value for the region,” says Noel Carter, director of European operations at Frontier Estates.
“We translate our scheme into multichannel places of contact with the customers, serving as pick-up points, showrooms, drop-off points for returns, warehouses, small fulfilment centres and high-end offices. All for moderate rates and available with flexible leasing conditions,” adds Carter.
Benefiting from quality fit-outs and prime locations, small business units are experiencing a growing occupier interest and attracting a diverse client base. SBUs are targeting companies which intend to integrate their headquarters with warehouses, production spaces or showrooms. This combination may allow a tenant to use the space effectively, reducing some significant operational costs.
Strong demand for warehousing space, in particular dynamically growing demand for small business units is expected to translate into sustainable income with significant growth potential for institutional investors in the future. The company plans to duplicate its UK’s renowned market strategy and grow a real estate portfolio in Poland.
“Taking into account current circumstances related to the pandemic and its influence on the leasing market we made safe assumptions for the time horizon of commercialization of the current investment and we are well prepared with a go-to-market strategy. Frontier Park Wrocław will offer up to twelve units, for carefully selected occupants, being a prime product with limited time offer,” says Noel Carter.
Frontier’s development is designed to respond to the exponential growth of the e-commerce sector, allowing new start-ups and medium-size companies to fully use their potential in the Lower Silesia region.
“The scheme will provide flexible space that will meet diverse tenants’ needs in the SME sector, starting from light production, warehousing and distribution, interiors, home furnishing, DIY sector, pharma, perishable foods, automotive to the showroom, enabling wholesale and retail sales. Wrocław’s strength and diversity are shaped by the presence of world’s leading companies that creates a demand for flexible mix-use space, targeting their supply chains – contractors, subcontractors, retailers, distributors,” says Karol Dzięcioł, Board Member at Frontier Estates Poland.
Frontier’s first investment in Poland has an excellent location in Bielany Wroclawskie, south of Wroclaw, one of the largest commercial and industrial zones in Poland with quick and convenient car access from the city centre. The plot is situated in direct proximity of A4 motorway and A8/S8 motorway junction, leading to German and Czech borders. Lower Silesia region concentrates on innovative manufacturing and service entities cooperating with well-developed research sector, powered by 27 public and private universities with their headquarters in Wrocław.