The sudden expansion of investments and production has led to significant developments in the Hungarian industrial real estate market. In Greater Budapest, the vacancy rate has sunk by 11 percentage points over the past two years due to strong tenant demand and a complete lack of new speculative developments, according to the latest research data from CBRE global real estate advisor. M0 Central Business Park is among the most successful logistics hubs in the Greater Budapest area.
The Hungarian commercial real estate market reached the highest volume since the peak of the market in 2007 with ca. €790 million transacted in 2015. Almost 60% of the annual volume was generated by portfolio transactions, which clearly reflects the increasing interest of investors for large platforms in an attempt to gain significant exposure to the market.
Investment into Central and Eastern European (CEE) countries (excluding Russia) for 2015 reached a historic high level at over €9.6 billion, representing a 20% increase year on year. Czech Republic and Poland put in a particularly strong performance, recording investment volumes of EUR 2.7 billion and EUR4 billion respectively.
Prologis, Inc., the global leader in industrial real estate, today announced that NAVO Orbico, a leading distributor of fast-moving consumer goods, has leased 12,100 square metres of distribution space at Prologis Park Sochaczew.
Prologis, Inc., the global leader in industrial real estate, today announced it will expand the distribution space for Pepco, a leading clothing and housewares retailer.
At completion in the first quarter of 2016, the existing 20,000 square metre building in Rawa Mazowiecka will be extended to a total of 50,000 square metres and will act as Pepco’s Central European distribution hub.
Prologis Park Prague-Jirny Retains Long-Term Customers. Prologis, Inc., the global leader in industrial real estate, today announced that it has signed two lease agreements totalling 152,560 square metres at Prologis Park Prague-Jirny.
Lurdy Logisztika Soroksár, operated by Lurdy Ház Kft. welcomes its new Tenant. Thanks to Colliers International, Hungary’s leading car glass retailer and wholesaler company, Pilkington AGR Hungary has contracted a long-term, warehouse, workshop and office area on 5,000 sq m.
Both the development and take-up of industrial parks in Central Europe is continuing and slightly accelerating in comparison with last year, according to research from Cushman & Wakefield. The appetite for investing in commercial properties is also increasing, with a shortage on the supply side making buyers willing to pay more. This trend is most obvious for logistic and production facilities.
