The context, say the company’s officials, is favourable, and the development of the activity locally is a natural step considering the country’s economy is growing and the request for logistics spaces is very high.
“We are in full expansion process. We are considering and analyzing the organic growth, as in the market there aren’t too many opportunities anymore. We plan to grow by 2018 up to one million square metres in Romania and we currently have logistics spaces on nearly 370,000 sq. m”, said Marian Orzu, head of leasing and business development department of CTP Invest Romania, during a recent market event.
The company’s manager says that CTP started the speculative constructions. “We have at km 23 a construction of 30,000 sqm. In August we start a project of 20,000 sqm situated km 13, with 7,000 sqm pre-leased. We have 28 hectares near A1 highway, an area of 140,000 sq.m where we can build. We are also considering acquisitions”, says Orzu.
By the end of this year, CTP will exceed half of million sqm logistics spaces in Romania.
The investments in logistics and industrial projects will exceed EUR 100 million this year, data of JLL shows.
“The investments in industrial and logistics spaces will exceed EUR 100 million this year. There are lots of projects in automotive, as well as in electronics and electrotechnics. The molding segment also started to develop in Romania, with interest from European and Asian investors. (...) The logistics market grew a lot. The retail and logistics sectors are in close relationship. After several years of crises when not many things happened, in the last year and a half-two years we are witnessing the business development. It is an important development segment”, says Cristina Pop, head of industrial agency within JLL.
According to her, the logistics spaces vacancy rate in Bucharest is below 5 pct., a value showing that the market is facing important developments in the following years.
“This is due to expansions of the existing clients, but also to the fact that most of developers were cautious in developing projects and that Romania also starts development of the cities outside Bucharest. Romania becomes first option for investors considering logistics and production”, Cristina Pop added.
Real estate market in Romania is preparing for a new record, estimating to deliver by the end of 2016 more than 300,000 sq. m of industrial and logistics spaces, according to data from DTZ Echinox.
In the end of 2015, the modern stock of industrial and logistics spaces in Romania exceeded two million square metres. Bucharest registered 47 pct. of the area, with a stock of 960,000 sq. m, Outside Bucharest, the largest industrial markets were Timisoara - 13%, followed by Ploiesti - 11%, Cluj - 7% and Brasov - 7%.
According to data of DTZ Echinox, in 2016, the new spaces deliveries will exceed 300,000 sq. m, a level which will increase the stock of industrial and logistics spaces in Romania with 15 pct. Largest part is to be delivered in Bucharest - 63% (~ 190,000 sqm), region followed by Cluj - 8% (25,000 sqm), Brasov, Ploiesti and Sibiu, with 5% (15,000 sqm each). (source: wall-street.ro)
