CBRE, leader in the real estate consultancy market, advised Corteva in the pre-lease of approximately 23,000 sq m of industrial space in a built-to-suit warehouse. The new project is located in the north-east of Bucharest and is developed by Lazar Real Estate, part of International Lazar group.
’’Our client, Corteva, needed a new warehouse to support their business strategy. After a detailed market research, CBRE identified the best suitable solution: a custom-built project designed for Corteva’s business characteristics and sustainability objectives, to be developed by Lazar Real Estate. This marks the largest new demand in the first quarter as 2021 started in a fast pace, with all the prerequisites to be an excellent year for the Romanian industrial market”, stated Tudor Iuga, Senior Consultant in the Industrial Services department of CBRE Romania, who represented Corteva in this deal.
The buil-to-suit warehouse is strategically located in Sindrilita village, at 6 km distance from Corteva currently production facility and 14 km from Bucharest Ring Road, benefiting of very good access to Muntenia, Dobrogea and Moldova regions, the most developed in terms of agriculture activity.
’’The solution proposed by CBRE perfectly meets our requirements to ensure best storage conditions for our seeds and above all, it is located at the distance from the plant we were looking for: maximum of 6 km. This is in line with our sustainability efforts within Corteva to reduce our operational footprint for our community. Instead of the 120,000 kms previously needed for the transportation of our production to the warehouse we will now be able to reduce the distance to 15,000 km for one season thus reducing our CO2 emissions by 94/year. Great achievement for the environment!’’, stated Marius Baraceanu, Corteva Production location Manager.
The project will be delivered by Lazar Real Estate, part of International Lazar group by the end of this year, with special technical specifications for agricultural seed depots, meaning lower height and controlled temperature of 10-12 degrees, but also humidity of 50% which involves excellent thermal insulation.
On the industrial Romanian market, the total leasing activity in the first quarter counted approximately 216,000 sq m, with 17% more compared with the first quarter of 2020, according to CBRE Research data. Over 96,300 sq m of the volume leased this year were concluded in Bucharest and its surroundings.
With an existing stock of 2.3 million sq m, Bucharest and Ilfov continue to attract the largest volume of new industrial developments, having with 140,000 sq m currently under construction, according to the CBRE’s report Romania Industrial Destinations.
Romania has seen a fast-paced development of the industrial market in the last five years, the stock doubling its volume during this period. However, with only 260 sq m of industrial space per thousand inhabitants, our country is below the regional average. In the next 5 years, CBRE data indicate an increase in the stock of industrial spaces by over 50%, up to 8 million sq m, currently, the developers having almost 400,000 sq m of industrial spaces under construction.