Over one million m² contracted in the Spanish logistics market

Over one million m² contracted in the Spanish logistics market

 

The shortage of space available in the first and second crowns  enables contracting to depend on turnkey projects or pre-leases, states Alberto Larrazábal, national director of Industrial & Logistics at CBRE, revealing that of the total volume transacted, 111,000 m² correspond to turnkey projects.

In the Madrid market, were contracted 447,000 m², with activity growing by 12% compared to the first half of 2017. The growth was much more noticeable in Barcelona: 62%, with the market reaching 384,000 m² in contracted area. The prime rents remained stable at €5.25 / m² / month and €6.75 / m² / month, respectively.

Outside the two largest national logistics centers, the remaining regional markets also exhibited good levels of activity, with Valencia and Seville leading the way, with contracting levels of 138,000 and 28,000 m², respectively.

"The shortage of supply is the prime note in the Spanish logistics market in general, which continues to help the development of new promotion projects, mainly in Madrid and Barcelona. Other cities, such as Valencia, Zaragoza and Malaga, accuse the lack of land available for the execution of new projects, which is making imperative to search for new mega-plots. A good example of this is the recent starting of Antequera Mega-Hub," says Larrazábal.

 

Investment amounted to € 705 million

Regarding the investment, in the first half of 2018 were traded € 705 million in assets, representing a growth of 6% compared to the same period of 2017 - not including the sale of Logicor's assets completed in the 2nd quarter of last year.

Among the main logistics operations completed since the beginning of the year, stand out the acquisition of the Axiare portfolio by Colonial, as well as the agreement for the acquisition of Phase 1 of the M-40 project in Villaverde by Invesco, which will pay Pavasal €80 million to become its new owner as soon as the project is completed.

Meanwhile, the prime yiels continued to compress, standing at 5.85%, due to buyer activity and the shortage of product on the market.

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