The most competitive locations for warehouses are still around the agglomerations

From the tenant's point of view, the optimal location of the warehouse in terms of the supply chain is to locate it as close to the target customer as possible. Therefore, the areas within the largest agglomerations in Poland, as well as along the main communication routes, are particularly attractive.

"From the investor's point of view the criteria for selecting the location are similar, but each institutional player will strive to have warehouses in their portfolio, especially traditional ones, located in the six largest and most liquid logistics hubs in Poland. These include primarily Warsaw, but also the vicinity of the Upper Silesian Conurbation, Central Poland, Wrocław, Poznań, and the Tri-City. Other areas also remain attractive, especially in the case of long-term leased facilities. The focus remains on Warsaw and the most developed logistics hubs," Bartłomiej Sutkowski, Manager, Investment Management, Hines Polska, noted.

Choosing the best location depends on several factors. For tenants, it is crucial to have the most flexible and tailored to the needs of their business space. Currently, it is also important for new facilities to provide such an offer in the shortest possible time. An additional criterion raised more and more often in conversations with potential clients, is the so-called ESG (environmental, social, and corporate governance), i.e. the policy of sustainable development.

"Our experience shows that tenants are willing to enter into a longer contract when there is space available for them that meets all the above criteria. A long-term contract with a financially reliable entity will also always be attractive to investors, who will be able to pay a premium in return. for a magazine with such characteristics," Bartłomiej Sutkowski added.

(WBJ)