PL

Europe More profit and zero vacancy

Warehouse & industrial
MLP made more than PLN 0.5 bln in net profit in the first three quarters of 2022, a result more than 2.6 times better than that reported a year earlier. The vacancy rate at the group's properties is close to zero.

The MLP Group’s financial condition remains strong, as demonstrated by its reported performance figures for the nine months. The Group’s net asset value (NAV) went up 33 pct, to over PLN 2.4 bln (EUR 498.5 mln). The value of its investment properties also rose 33 pct, to more than PLN 4.5 bln (EUR 958.2 mln). Consolidated revenue improved 35 pct y-o-y, to EUR 41.9 mln, driven by an increase in the leased area and rental rates. Net rental income, on the other hand, rose 30 pct y-o-y, to PLN 145.6 mln (EUR 31 mln). Operating profit rose 164 pct, to PLN 750.1 mln (EUR 160 mln). In the first nine months of 2022, MLP Group generated PLN 526,1 mln (EUR 112.2 mln) in net profit, a more than 2.6-fold improvement on the year before.

We have reported another very successful period for our business. Despite a challenging environment, we have delivered excellent financial performance and lease results. Conditions in the warehouse sector remain stable, with continued healthy demand for storage space. Tenants seek to overcome supply chain issues through nearshoring/friend shoring, and by keeping higher stocks close to the markets they serve. This trend supports demand for new space. We have maintained significant portfolio stability at the Group level. Practically 100 pct of our space has been leased and we have a very good tenant mix, diversified both geographically and across industries. Our completed projects have a very low vacancy rate, close to 0 pct. In general, any space that becomes available is quickly taken up by new tenants. This gives us room for further rapid growth, also through partly speculative investments. To this end, we have secured an attractive land bank and signed numerous reservation agreements to purchase new land for further developments, both in Poland and abroad.
Radosław T. Krochta, President of the MLP Group Management Board

Currently, the MLP Group is developing its operations on the Polish, German, Austrian and Romanian markets. The total space leased at the end of September 2022 was over 1 mln sqm, having increased by over 125.000 sqm. The target capacity of the existing project portfolio exceeds 1.6 mln sqm. The Group currently operates 22 logistics parks in Poland and abroad. Its strategic objective remains to expand the warehouse space portfolio by developing Big Box buildings and urban logistics projects.

We are fully hedged against various risks, including the prevailing high prices. Under contracts we have signed with tenants, our rental rates for commercial properties are indexed automatically by HICP. As our rents are additionally denominated in the euro, we are also resilient to currency risk. In addition, almost 100 pct of our borrowings are IRS hedged for the next five years, resulting in limited interest rates exposure. As a result, we feel very safe in these uncertain times.
Radosław T. Krochta, President of the MLP Group Management Board

Environmental protection has always featured high on MLP Group’s agenda. The Group is making consistent progress on its strategic project to mount rooftop solar PV systems at its existing and new logistics parks. By the end of this year, the solar capacity of its domestic projects should reach about 6.3 MWp. Rooftop solar panels are also mounted at the Group’s foreign parks. Green energy generated by these systems will be used primarily for internal consumption, while also providing an additional stream of future revenue. The aim is to have 80 pct of the Group’s projects BREEAM certified at the Excellent or Very Good level, and to secure DGNB Gold or Platinum certificates on the German and Austrian markets. The net-zero carbon footprint is to be achieved within the next two to three years.

In keeping with its build & hold strategy, MLP Group retains completed logistics parks in its portfolio and manages them. All projects undertaken by MLP Group are distinguished by very attractive locations of the logistics parks, application of built-to-suit solutions, and support given to tenants during the lease term.

Latest news

Events

Poland Savills opens up a new division

schedule 29 March 2024
Opr./edited by JC

Savills expanded its Operational Capital Markets division in Poland to provide advisory services for property investors, developers and operators across all operational real estate sectors. 

ESG

Poland Entire portfolio is green

schedule 28 March 2024
Opr./edited by ANZ

A further 15 buildings owned by Hillwood Polska have been awarded BREEAM In Use certification at the Excellent level. The accreditation now covers the company's entire portfolio.

ESG

Romania U-Center 2 is WELL

schedule 28 March 2024
Opr./edited by ANZ

Forte Partners has announced WELL Health-Safety Rating certification for U-Center 2, the office building the developer put into operation in September 2023.

Warehouse & industrial

Poland Panattoni has secured millions

schedule 28 March 2024
Opr./edited by JC

Panattoni has won financing for the development of its latest development in Western Pomerania. The EUR 20 mln loan was granted by mBank.

Retail & leisure

Poland Smart Parks are springing out

schedule 28 March 2024
Opr./edited by JC

Smart Park Poland and RG Leasing announced the latest progress in the implementation of their investment projects. After last year's openings in Mława and Wąbrzeźno, more locations are coming up.

Warehouse & industrial

Poland Malaysian debut in Poland

schedule 27 March 2024
Opr./edited by JC

Malaysian retail chain, MR D.I.Y., begins operations in Polish market at Hillwood Zgierz I. The company has leased nearly 5,000 sqm at the park to set up its first logistics center in Central Europe.

Warehouse & industrial

The Czech Republic For the first time in the Czech Republic

schedule 27 March 2024
Opr./edited by ANZ

The 7R Group has been granted permission to build a warehouse in the Czech Republic. This is the first foreign project for the company, which has been growing dynamically in Poland for 15 years. The value of the investment is more than EUR 30 mln.

Warehouse & industrial

Poland Outsourcing for e-commerce in Syców

schedule 26 March 2024
Opr./edited by ANZ

Logistics operator 3LP, specialising in automated outsourcing of logistics services for e-commerce sector, is opening its next location. The company has leased 17,000 sqm in the Hillwood Syców logistics park.

Property and Facility Management

Romania Joint venture management for Romanian portfolio

schedule 26 March 2024
Opr./edited by ANZ

M Core announces the launch of ‘Square 7 part of M Core’, a strategic joint venture between M Core and Square 7 Properties, to establish a new management platform for the M Core portfolio of 25 retail parks across Romania.

ESG

Albania First BREEAM certificate in Albania

schedule 26 March 2024
Opr./edited by JC

Park Avenue Tower in Tirana has become the first Albanian office project to secure BREEAM Design Stage certification with an Excellent rating.

Office & mixed-use development

Poland Trident is staying in Tricity

schedule 26 March 2024
Opr./edited by JC

Trident BMC, which cooperates with maritime, shipbuilding and offshore industry clients, will continue as a tenant in C200 Office. It has renewed and expanded its lease to occupy more than 2,200 sqm of office space.

Office & mixed-use development

The Czech Republic Regional market increasingly attractive

schedule 25 March 2024
Opr./edited by ANZ

According to the latest survey by Colliers, regional cities in the Czech Republic are becoming an increasingly interesting alternative for investors looking for cheaper, yet high quality, office space outside of Prague.

Office & mixed-use development

Poland Hybrid is still going strong

schedule 25 March 2024
Opr./edited by JC

After four years of a pandemic-induced disruption it is now clear that hybrid working is here to stay. New research from Cushman & Wakefield has found that 27 pct of Polish people combine in-office attendance with home office.

Warehouse & industrial

Romania Yusen Logistics chooses CTPark Bucharest

schedule 25 March 2024
Opr./edited by ANZ

CTP has agreed a five-year lease for 19,000 sqm of warehouse space at CTPark Bucharest in Romania to Yusen Logistics, a global logistics provider.

Warehouse & industrial

Poland Panattoni sells in Wrocław

schedule 25 March 2024
Opr./edited by ANZ

Panattoni has finalised the sale of a centre in Lower Silesia. An international real estate company has purchased Panattoni Park Wrocław West Gate with a total area of 46,900 sqm.

Office & mixed-use development

Poland Quorum A is completed

schedule 25 March 2024
Opr./edited by ANZ

Cavatina Holding has obtained an occupancy permit for the Quorum A office building, one of the five buildings forming a multifunctional development on the banks of the Odra River. The building provides the Wrocław office market with 18,000 sqm of space spread over 12 storeys.

Property and Facility Management

Romania Cushman rules at Expo Business Park

schedule 25 March 2024
Opr./edited by JC

The Cushman & Wakefield Echinox has been appointed to manage the Expo Business Park office project, located in the Expozitiei area of Bucharest. As a result, the portfolio managed by the company’s asset services department reached almost 500,000 sqm.

Corporate social responsibility

Poland Not only for horses

schedule 22 March 2024
Opr./edited by JC

Panattoni BTS and Commercecon together support the establishment of the second Centaurus Foundation centre in Poland to help horses and other animals.

Eurobuild FM

Cannes / Poland Big business under the palm trees (ep. 3)

schedule 21 March 2024
Eurobuild CEE

We invite you to the third and last episode of the special podcast from Cannes! Today, three different views on different market segments, united by one approach – quite healthy optimism!

Material partner

Cannes New opportunities emerge in uncertain times

schedule 21 March 2024
Eurobuild CEE

Over 20,000 delegates representing 90 countries gathered in Cannes for the 34th edition of MIPIM, the global urban festival that brings investors, political leaders and the real estate community together to facilitate relationships and find solutions to the challenges facing the built environment.

Latest in Warehouse & industrial

schedule 28 March 2024

Panattoni has secured millions

Panattoni has won financing for the development of its latest development in Western Pomerania. The EUR 20 mln loan was granted by mBank.

schedule 27 March 2024

Malaysian debut in Poland

Malaysian retail chain, MR D.I.Y., begins operations in Polish market at Hillwood Zgierz I. The company has leased nearly 5,000 sqm at the park to set up its first logistics center in Central Europe.

schedule 27 March 2024

For the first time in the Czech Republic

The 7R Group has been granted permission to build a warehouse in the Czech Republic. This is the first foreign project for the company, which has been growing dynamically in Poland for 15 years. The value of the investment is more than EUR 30 mln.

schedule 26 March 2024

Outsourcing for e-commerce in Syców

Logistics operator 3LP, specialising in automated outsourcing of logistics services for e-commerce sector, is opening its next location. The company has leased 17,000 sqm in the Hillwood Syców logistics park.

schedule 25 March 2024

Yusen Logistics chooses CTPark Bucharest

CTP has agreed a five-year lease for 19,000 sqm of warehouse space at CTPark Bucharest in Romania to Yusen Logistics, a global logistics provider.

schedule 25 March 2024

Panattoni sells in Wrocław

Panattoni has finalised the sale of a centre in Lower Silesia. An international real estate company has purchased Panattoni Park Wrocław West Gate with a total area of 46,900 sqm.

schedule 21 March 2024

Hillwood's first tenant in Łazy

Entalpia Europe has become the first tenant of the Hillwood Łazy logistics centre. The company, which specialises in solutions for the HVAC-R industry, has leased 14,000 sqm of warehouse space and 1,200 sqm, of office space.

schedule 19 March 2024

Good prospects ahead

According to the latest report “Industrial and Warehouse Market in Poland”, released by Newmark Polska, 2023 was one of the best years in the market’s history. It saw the second highest new supply (3.7 mln sqm) and the third highest take-up (5.6 mln sqm) and development pipeline (2.8 mln sqm). Considerable warehouse availability levels brought a long-awaited stabilization of rental rates.

schedule 18 March 2024

AS-PL goes to Tricity

Automotive company AS-PL has signed up to Panattoni Park Tricity East I by leasing nearly 2,900 sqm of warehouse and office space.

schedule 15 March 2024

Plant ready for operation

Panattoni has completed and handed over the main European production facility for Maxcess. Built on a BTS basis, the new hall in Łubowo will facilitate the relocation of the existing factory, enhance the capacity for new product and service development, and is expected to double employment, bolstering the local labor market's growth.

schedule 15 March 2024

Early full occupancy in Hamburg

The technology company Freudenberg Sealing Technologies will move into the multi-user campus Victoria Park Hamburg, currently being developed by Garbe in a joint venture with the Jebens Group. The property, which has a total area of around 12,000 sqm, is scheduled for completion in February next year.

schedule 13 March 2024

Electronics at Segro Logistics Park Gliwice

Segro has signed an agreement with Centrumelektroniki.eu for the rental of warehouse and office space in Silesia. In the new location, the company will strengthen its existing logistics services, offering more efficient completion and shipment of products to the target customer.

schedule 13 March 2024

Construction starts on CTPark Rzeszów

CTP is starting construction of its first manufacturing and logistics complex in the Podkarpackie region. In Rzeszów, the developer will build a complex of two facilities with a total leasable area of nearly 50,000 sqm.

schedule 13 March 2024

Better second half

After the very successful years of 2021 and 2022, known as the golden period of development of the industrial market in Poland, 2023 was a period of greater challenges due to a change in the macroeconomic situation. Axi Immo presents the "Polish Industrial Market 2023" report.

schedule 08 March 2024

Satoia thinks big

Kąty Wrocławskie is becoming home to one of the largest logistics and warehouse hubs in Poland. The development occupies a total area of 80 hectares, with buildings with a target total area of 430,000 sqm.

schedule 07 March 2024

Warehousing near the border

7R is completing the Beskid III warehouse and logistics park in Czechowice-Dziedzice. The 22,000 sqm facility is located close to the border with the Czech Republic and Slovakia.

schedule 07 March 2024

Completion of Logicor Wrocław II expansion

Logicor has completed the Logicor Wrocław II warehouse facility. Thanks to the extension by an additional 10,400 sqm, the protective packaging manufacturer Walki has doubled the space it occupies to date. The expansion marks the completion of the investment.

schedule 05 March 2024

Panattoni Park Swindon takes off

Panattoni has broken ground on one of the largest brownfield sites in the UK, which will initiate the flow of a GBP 900 mln investment into the economy over the next decade.

schedule 05 March 2024

GLP ready for expansion near Wrocław

Static Control, a manufacturer and supplier of printer supplies, has joined the group of users of the Wrocław V Logistics Centre in Magnice near Wrocław. The entire available space in the park is already leased, and GLP is planning to expand the investment later this year.

schedule 05 March 2024

Logicor remains optimistic

Logicor has published its global results for 2023, with the company reporting increases in a number of indicators.

Edition 3 (286) March 2024

Latest comments

Categories