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REAL ESTATE review
INDUSTRIAL SEEN AS A LEADING MARKET SECTOR The industrial market is seen by some analysts as the sector in the most positive position for the post-coronavirus crisis period. Continued low vacancy rates and stable rental levels are forecast due to high demand; however, the lockdown environment and its impact on the development and construction processes mean most speculative projects have been put on hold, despite the previous demand for space.
Airport City by CPI.
By Gary J. Morrell Some analysts anticipate a boom in activity once the crisis is over and restrictions are lifted. Some large builtto-suit (BTS) requirements are in the pipeline, although the decision-making process has slowed in the current crisis. Demand from logistics service providers is continuing to increase, thanks in large part to the dynamically rising use of
ecommerce. In this respect a very low vacancy rate is expected to continue with upward pressure on rents. The market also faces challenges with regard sustainability specifications and the need to change procedures to combat the coronavirus. “Retailer active in grocery, healthcare, consumer and diversified products
will lead to a sharp rise in demand for logistics real estate in the next two to three years as industries implement lessons learned from the COVID-19 crisis pandemic,” says Prologis on the demand for logistics space. Similarly, Mátyás Gereben, country manager at CPI Hungary, sees high demand as continuing in the logistics sector despite the crisis. The company
