Post-industrial areas attract investors

The Polish Chamber of Commercial Properties (PINK) asked its members about the prospects and possibilities of using post-industrial areas for the benefit of cities and the natural environment.

Former industrial areas located within large agglomerations are becoming a tempting alternative for investors.

However, what constitutes a major barrier to the use of these lands in the event of their contamination is remediation, i.e. their transformation and adaptation so that they are safe for the health of people living or working there in the future.

The total area of ​​land requiring reclamation in Poland is approximately 65 thousand. ha.

From the investor's point of view, regulations, challenges, and the solutions they bring are an important factor in post-industrial treatment. As emphasized by Ewa Rutkowska-Subocz, Partner managing the Dentons Environmental Protection Practice in Poland and co-head of the Environmental Protection Practice in Europe, there are no relevant legal provisions that apply to all aspects related to cleaning the earth's surface. While there are regulations and quality standards for soil and land, there is a lack of them for groundwater, so remediation plans now formally only cover soil and land.

"While developed economies are already behind the stage of the regeneration of post-industrial areas, we are at the beginning of this road and it is necessary to determine the best and responsible strategy for it. We already have many examples of successful investment projects carried out in post-industrial areas such as Prologis Park in Ruda Śląska or Segro Business Park Warsaw, Żerań We are of the opinion that developers cannot bear all the costs related to the contamination of areas, especially if they were created as a result of the actions of state-owned companies," Agnieszka Jachowicz, member of the PINK board, noted.

According to Michał Żelazek, Deputy Director, Department of Warehouse and Industrial Space at CBRE, post-industrial areas are attractive to investors, especially in the case of limited availability of undeveloped space.

"Post-industrial properties located within the boundaries of large urban centers are more attractive to investors than such types of space located outside the city limits because they offer the possibility of changing the function and the way of development," Michał Żelazek added.

(WBJ)