Polish logistic completions jump 116% in H1: DTZ

The volume of modern industrial and logistics stock is increasing significantly, in Poland, reflecting the country's strong economic performance. Some 3,000 m² of industrial and logistics space was delivered to the market over this period, marking an increase of 116% compared to H1 2011, according to property adviser DTZ.

Whereas in the boom years, Poland experienced high levels of speculative development, now the impetus is coming from businesses seeking tailor-made schemes that match their strategies to expand or moderise their logitics operations, DTZ said. Built-To-Suit projects designed for manufacturing companies account for half of the new deliveries. Pre-let schemes account for a substantial part of the remaining deliveries accounts.

The total stock of modern industrial and logistics space in Poland exceeded 7.2 million m² at end-Q2 2012. The Greater Warsaw region remains the largest Polish industrial hub, accounting for 38% of the stock and 54% of the total supply accounts for the four major regional markets including Upper Silesia, Central Poland, Poznañ Region and Lower Silesia.

Due to large-scale investments in the transport infrastructure system, including the national motorways and expressway network, as well as the development of the retail market outside Warsaw, regional locations are steadily gaining in importance and increasing their market shares. Geographical divisions of the new supply in H1 2012 shows that 81% of the space was delivered to the regional markets, whilst only 19% falls in the Greater Warsaw area.

At the end of Q2 2012, more than 280,000 m² of space was under construction. Developers are the most active in Lower Silesia (59,000 m² under construction), Upper Silesia (56,000 m2) and within Central Poland (45,000 m2). Taking into account the high level of new deliveries recorded over the course of H1 2012 as well as the volume of space under construction, the annual delivery is expected to exceed 550,000 m² in 2012 as a whole.