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The amount of vacant warehouse space decreased to 9.5%

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05.09.2017

This is stated in a semiannual report of consulting company CBRE.

This was influenced by increased demand from tenants, mainly retailers and logistics companies, a limited amount of new construction and a reduction in speculative supply in the market.

In the first half of this year opened only two warehouse facility with total area 8.2 thousand sq. m.

During the reporting period, the rental market was put 40 thousand sq. m.

Mostly tenants interested in small room — less than 5 thousand sq. m. It was on such transactions accounted for about 82% of total gross absorption. Unlike last year, when tenants moved from object to object, this year were signed several agreements on extension of lease of warehouse space.

Due to the growing shortage of large lots storage space, space needs in excess of 10 thousand square meters, are met by acquiring objects or extensions to warehouse premises offered by logistics operators.

Despite the market recovery, developers in no hurry to build facilities for the open market. The reason is the low rents compared to the cost of construction of storage facilities and lack of debt financing.

The highest rate rents for the best space remains at 4.1 USD. per sq. m per month excluding VAT and operating expenses.

Therefore, the needs of tenants in large warehouse space in the near future will be implemented through the construction of build-to-suit.

Until the end of the year will be put into operation about 34 thousand sq m of warehouse premises for their own use.

In addition to rental payments tenants must reimburse operating expenses per square meter. Due to the growth of utility payments, land tax and the increase in nominal wages operating expenses professional warehouse facilities increased by about 10-20% since the beginning of the year, varying within the limits from 0,5 to 0,6$. per sq m per month, excluding VAT at the end of the first half of 2017.

 

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