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Tag: Distribution Centre

DHL supports boohoo’s US expansion

Posted on by Keith McKinley

DHL Supply Chain, part of Deutsche Post DHL Group, has been chosen by boohoo group plc to manage its first-ever US distribution centre. DHL Supply Chain will provide boohoo, which generates annual sales of over $2.4bn, with best-in-class warehousing solutions to enable the company’s expected growth in the US market.

As boohoo’s popularity in the US continues to grow, DHL Supply Chain will lead the operation of a new 1.1m sq ft distribution centre in Elizabethtown, Pennsylvania, southeast of Harrisburg. The location, expected to open in early 2023, will allow the company to offer next-day service to the New York City metro region, a key customer area for the fashion brand.

“Although boohoo has been servicing the US through its existing network in the UK since 2006, the company’s growing order volumes and customer demand on this side of the pond in recent years made a US-based distribution centre for direct-to-consumer fulfilment a necessity,” said Kraig Foreman, President, eCommerce, DHL Supply Chain. “Their new facility will reduce transportation costs, improve service, and drive greater agility and speed, getting the latest trends into customers’ hands faster. We’re proud to partner with boohoo as they invest in the US market and prepare for future growth.”

DHL Supply Chain will hire 1,000 associates in its first year at the state-of-the-art warehouse, with nearly 2,500 expected over the next three years. The site will feature several amenities, including a kitchen/canteen with fresh food prepared daily, as well as an on-site gym and activity area. The site also will include a recruiting and training centre to allow for faster hiring and training of new associates.

In line with its proven ability to apply emerging technologies to drive efficiency and productivity improvements for customers, through its accelerated digitalisation programme, DHL plans to introduce highly automated solutions, such as an Automated Storage and Retrieval System (ASRS) and a high-speed pouch sorter at the boohoo site in the next three years. These systems work together to put away and replenish inventory in addition to providing picking and pack sortation. This will be one of the first sites within DHL Supply Chain’s operations to feature the technology and is one of the most cutting-edge warehousing solutions on the market.

“We have a loyal and growing customer base in the US and want to provide them with a faster and smoother service than we can currently offer from the UK.  Investing in our distribution network in the US illustrates the confidence we have to grow our business in this important market. We chose DHL Supply Chain as our logistics partner because of their industry-leading expertise in managing highly complex e-commerce operations and their proven track record with successful startups in the space,” said David James, Supply Chain Director.

“Our inventory management is an extremely important element of our overall business and our commitment to a superior customer experience. We trust DHL Supply Chain to handle our operations at our new US site, leveraging their commitment to advanced digitalisation to ensure we meet our customers’ expectations.”

Garbe breaks ground in Bodenheim

Posted on by Keith McKinley

With a symbolic ground-breaking ceremony, construction work has officially begun on the logistics centre that Garbe Industrial Real Estate GmbH is developing in Bodenheim, Rheinhessen (Mainz-Bingen district), Germany. The tenant of the property, which has a total area of 14,500 sq m, is atrikom fulfillment, a company specialising in e-commerce and advertising materials logistics as well as dialogue marketing. The new building is scheduled for completion in the second quarter of 2023. Garbe Industrial Real Estate is investing around €23m in the site.

“Today sets the course for the successful implementation of our joint project,” Adrian Zellner, Member of the Executive Board of Garbe Industrial Real Estate, emphasised on the occasion of the ground-breaking ceremony. The Hamburg-based project developer will build a property with a hall area of around 12,100 sq m on the 23,500 sq m site in the “Bürgel” industrial estate. In addition, there are 1,325 sq m for offices and social rooms. A further 1,000 sq m of usable space are planned on mezzanine floors.

For loading and unloading trucks the facility will be equipped with ten dock levellers and two ground-level sectional doors. Parking spaces for five trucks and 48 cars are provided in the outdoor area.

Atrikom fulfilment, headquartered in Ginsheim-Gustavsburg, will operate a state-of-the-art e-commerce warehouse from the middle of next year in the new building. “With the commissioning of the logistics centre in Bodenheim, we are expanding our network of locations and will supply our customers’ clients just in time from there in the future,” said Daniel Deckers, Managing Partner of atrikom fulfillment, explaining the importance the new building will have for the company. It sends several million letters and more than two million parcels per year.

The property in Bodenheim is located only a few hundred metres from the B 9 highway. It connects the site with Mainz, Wiesbaden, Frankfurt and the other metropolitan areas in the Rhine-Main region via motorways 60, 63 and 67.

The realisation of the property also focuses on the issue of sustainability. For the generation of renewable energy, a powerful photovoltaic system is being installed on the roof. The entire building will be equipped with energy-efficient LED lighting. The car parking areas and bicycle shelters will be equipped with e-charging stations. The outdoor area will be extensively landscaped with trees and shrubs and should offer opportunities for a quality retreat.

Garbe Industrial Real Estate is aiming for certification in accordance with the Gold Standard of the German Sustainable Building Council for the new building. “The employees who will work in the logistics centre in the future and the surrounding area will benefit equally from the sustainable development of the property,” says local mayor Thomas Becker-Theilig with conviction.

Prologis launches social value white paper

Posted on by Keith McKinley

Prologis UK and Tritax, two of the biggest names in logistics property development, have joined forces to publish a report designed to inspire other businesses in the construction and logistics sectors to take a more proactive approach to delivering social value.

The report, entitled ‘Building for Social Good’ shares the experiences of both companies in their efforts to deliver a positive impact to people and communities in the areas where they own and develop logistics properties. Importantly, the report also explains how each has successfully managed their social impact through the use of data, which has enabled accurate and meaningful measurement. This in turn has helped to engender the support needed to prioritise social value delivery in the future.

Both Prologis UK and Tritax have used a social value measurement tool, called the National TOMs (Themes, Outcomes, Measures) Framework. Mapped to the UN’s Sustainable Development Goals (SDGs), this Framework enables businesses to quantify the social and local economic value of their activities by attributing a monetary value equivalent to them. This in turn enables businesses to measure and manage social value.

The National TOMs Framework centres on five themes – jobs, growth, social, environment and innovation – and outcomes include wide-ranging activities such as giving up staff time for community training initiatives, creating jobs and improving the local environment.

In addition to providing guidance on its implementation, the report includes several case studies to illustrate how the Framework is being applied by Prologis and Tritax. For example, during the construction of a state-of-the-art Logistics Operations Centre for Jaguar Land Rover in Solihull, West Midlands, Prologis explains how more than £12m of social and local economic value has been committed by the project partners. Similarly, Tritax explains how a brownfield redevelopment project at Littlebrook, Dartford, is generating more than £13m in social and local economic value, including the creation of 1,300 jobs.

Simon Cox, head of sustainability, Prologis UK, said: “Once you understand the power of social value initiatives to boost jobs, create lasting economic value, attract investment and enhance employer brands, it becomes hard to argue against. Which businesses wouldn’t want to invest in social value creation, in the same way they might consider investing to improve their products or services?”

Alan Somerville, ESG Director, Tritax, commented on the company’s project at Littlebrook, saying: “Creating social and local economic value is about creating a positive legacy for the future that enhances the world in which we live and work. Our scheme at Littlebrook has enhanced biodiversity in the local area at the same time as creating valuable training and employment opportunities.”

CLICK HERE to download the report

Avocado distributor opens Dartford facility

Posted on by Keith McKinley

Mission Produce, a global leader in avocado marketing and distribution, is set to open its first UK facility at Goodman’s Crossways Commercial Park in Dartford, Kent.

Covering 101,659 sq ft, the highly-sustainable building will be used as Mission’s state-of-the-art ripening, packing, and forward distribution centre which is expected to help streamline import logistics and reduce transit times to UK customers.

Founded in 1983 and headquartered in California, Mission specialises in sourcing, producing and distributing fresh Hass avocados. It has an established network of 12 ripening and distribution centres globally, with avocado packing facilities in key locations including California, Mexico and Peru, and additional sourcing capabilities in South Africa. Mission leverages its global presence to serve retail, wholesale, and food service customers in more than 25 countries.

Paul Frowde, Managing Director at Mission Produce UK, said: “The opening of this distribution facility is a milestone that represents a significant opportunity for our business as we expand into the UK market.

“Goodman’s Crossways Commercial Park location was the ideal choice, blending a strategic location with a high-quality facility designed to streamline our operations. Its sustainable features and use of renewable energy are also expected to promote energy, cost and maintenance savings as we strive to maximise efficiency.”

Crossways Commercial Park’s strategic location, places 11.7 million consumers within a 60-minute drivetime. Its prime position, adjacent to Junction 1a of the M25, offers fast access to London and the national motorway network.

Developed to a BREEAM ‘Excellent’ specification, the facility promotes energy efficiency aligning with Mission’s strong Environmental, Social and Governance (ESG) credentials. It features a 490kWp rooftop array of solar photovoltaic (PV) panels, solar thermal hot water, rainwater harvesting and charging infrastructure for electric vehicles.

With the facility expected to open in early 2023, Mission is currently undertaking a highly specialised fit-out, including the installation of a 3,000 sq ft mezzanine and a variety of cutting-edge features. Grading visibility technology to reduce handling and minimise fruit damage, advanced testing machinery to determine stages of ripeness with precision, and specialised heating and cooling systems are just some of the systems being implemented to help Mission optimise its operations and provide customers with year-round supply of the world’s finest avocados.

The Crossways Commercial Park location will also be Mission’s first facility to feature “Mission Control” technology in dedicated ripening rooms. Using a specialised atmosphere control process, this innovative system can create the optimal environment for ripening, which in turn helps enhance product quality, extend product shelf life and reduce waste.

George Glennie, development director at Goodman, said: “Crossways Commercial Park is our most sustainable UK development, with cutting-edge technology and investment in on-site renewables.

“Combined with a prime M25 location, Crossways Commercial Park offers fast access to large consumer markets, maximising logistical efficiencies and supporting Mission in its next phase of growth.”

The news follows Goodman’s leasing of Crossways 138 – another unit in Crossways Commercial Park – to premium ingredients supplier, Albion Fine Foods, leaving just one 240,884 sq ft unit remaining.

Research confirms UK’s logistics sector is buoyant

Posted on by Keith McKinley

Against a challenging financial and economic backdrop and heightened business uncertainty, there continues to be robust activity in the industrial and logistics sector, according to latest research from Colliers. The firm has reported that take-up for units over 100,000 sq ft reached 9.6 million sq ft in Q3 2022.

Len Rosso, head of Industrial & Logistics at Colliers, explains: “This take-up figure is 12.6% down quarter-on-quarter, taking the total to end-Q3 to 31.5 million sq ft, a 22% drop when compared to the first three quarters of 2021. However, if we look at the immediate 48-month activity prior to Covid-19, Q3 take-up remains elevated and resulted in an increase of 13% over the average quarterly take-up for the period 2018/2019.”

In addition, the data reveals that occupiers are continuing to target Grade A space in Q3 with take-up for speculative units accounting for 50% of total take-up, while purpose-built space recorded a 26% share. Second-hand space accounted for 24% of take-up.

The research also states that the flight to quality is somewhat driven by occupiers placing greater importance on a building’s ESG credentials. However, it is also dictated by a low level of supply where occupier requirements are likely to be satisfied by the provision of speculatively developed space. Some occupiers are also likely to be planning in advance and opting for purpose-built warehouses to fit in line with their long-term business strategies. Yet given the current issues in the UK’s economy, occupiers will find it increasingly difficult to plan.

When analysing the most recent data for online sales from the Office for National Statistics (ONS), online retailing sales volumes saw a monthly contraction of 2.6% in August 2022, following an increase of 4.8% in July 2022. Despite this fall, online sales volumes are 24.4% above their pre-Covid-19 February 2020 levels.

Andrea Ferranti, head of Industrial & Logistics research at Colliers, said: “Due to a natural drop in online retail sales, when compared to the record levels witnessed over 2021 and 2022, Q3 saw an average occupier deal size of 233,000 sq ft, down 35% year-on-year. While this figure is an indication of where the market may be heading over the next 12 to 15 months, it is worth highlighting that more data is needed over the next couple of quarters, into 2023, to ascertain where we are up to. We expect global multi-national businesses to continue to seek large warehouse space to drive efficiencies while future-proofing supply chain operations.”

Colliers’ latest industrial and logistics research also reveals that supply remains extremely low at 17.8 million sq ft and the scheduled delivery of 18 million sq ft of speculatively developed space this year has not been enough to relieve pressure in the market. Furthermore, 50% of this has either let or is under offer.

Ferranti adds: “We are currently monitoring circa 8.3 million sq ft of new speculative space under construction with scheduled delivery for 2023. As a result, rents are increasing across the board with the latest monthly MSCI figures recording an average annual rental growth to August of 14.2% for distribution warehouses and 12.8% for standard industrial assets. We expect a continuation of rental growth over the next 12-months but at a slower pace due to a challenging economic outlook.”

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Demand for UK Logistics Space Hits Record Levels

 

UK logistics sector remains resilient

Posted on by Keith McKinley

Take-up of UK logistics space totalled 7.67m sq ft for Q3 2022, according to the latest research* from global real estate advisor CBRE. The aggregate for the first nine months of 2022 stands at 30.25m sq ft, which equates to 95.8% of 2021 and 92.1% of the record-breaking year of 2020 for the same period, signalling the sector’s resilience.

This represents a decrease of 30% compared with Q3 2021, which saw take-up reach 10.9m sq ft. A total of 29 deals have completed this quarter, a decrease of 25.6% compared with Q3 2021, which saw 39 deals complete. Speculative schemes accounted for almost half of total take-up at 46.9%, followed by build-to-suit at 34.7% and second-hand accounting for the remaining 18.4%.

Third-party logistics dominated at a sector level, accounting for 56.3% of total take-up for the quarter. This was followed by retail at 21.3%. The remaining 22.4% was split across supermarkets, manufacturing, motor and other, demonstrating that demand for logistics space is wide-ranging and that competition for units remains strong.

Take-up was widespread across the regions for the quarter. Yorkshire & North East led the way at 27.1%. This was followed by West Midlands at 20.7%, East Midlands at 19%, South East at 16.3%, North West at 9.3% and the South West at 7.5%.

Vacant available space increased from 5.73m sq ft at Q2 2022 to 6.51m at Q3 2022. This was due to a number of speculative buildings reaching practical completion during the quarter. However, with only 21 built speculative units available, there remains a significant under supply. The increase in completed units resulted in the UK vacancy rate increasing fractionally from 1.18% to 1.32%.

Jonathan Compton, Senior Director, UK Logistics at CBRE, said: “Despite the ongoing economic uncertainty, the logistics occupational market remains strong with a wide range of occupiers securing space across the country. The decrease in take-up this quarter points to a degree of normalisation in the market following a prolonged period of record-breaking numbers, however the under-offer pipeline signals towards another robust year for the sector.”

Annabel Nash, Senior Analyst, UK Logistics Research at CBRE, added: “We have seen a significant shift in the type of occupier taking space following a dominant display from online retail. Third-party logistics providers are now leading the pack, accounting for more than a third of total take-up year-to-date. Ongoing supply chain and shipping disruptions are resulting in longer lead times, driving retailers to extend their stock profile in the UK. Therefore, companies that do not have the sufficient infrastructure are turning to third-party logistics providers for fulfilment on their behalf.”

* CBRE tracks all warehouses in excess of 100,000 sq ft in size and with an eaves height of more than 10 metres. The UK vacancy rate refers to the buildings that are physically built and standing, capable of being utilised by an occupier immediately.

 

 

St. Modwen acquires Midlands cold storage facility

Posted on by David Priestman

St. Modwen, one of the UK’s leading logistics developers and managers, has continued its expansion in the UK’s Midlands with the acquisition of a 56,760 sq ft cold storage distribution facility in Alfreton, Derbyshire.

The modern, two-chamber cold storage distribution facility is located on the Clover Nook Industrial Estate in Alfreton, adjacent to the A38 and Junction 28 of the M1 motorway and on the major North-South distribution corridor.

The site spans 5.31 acres with low site coverage of 25% and currently provides 161 car parking spaces and a further 30 dedicated HGV bays with the capacity to accommodate the installation of EV charging points.

Alfreton, by virtue of its central location equidistant from Nottingham and Derby, has become one of the UK’s major submarkets for distribution and logistics companies. There is strong local demand for high-quality mid box distribution centres with strong transport connectivity, seeing high levels of take-up among occupiers seeking urban depots to serve surrounding towns and cities. Supply of suitable mid box schemes within the Midlands is limited, with low levels of available stock and significant competition between occupiers for best-in-class units.

Polly Troughton, Managing Director, St Modwen Logistics, commented: “The acquisition of this high-quality, modern facility allows us to further expand our footprint in one of the UK’s most competitive logistics locations.

“Our continued acquisition and development of high-quality logistics space within undersupplied regional submarkets across the UK fuels the growth of regional economies. Our schemes create high-quality jobs for local people of all ages and all education levels, directly supporting the government’s levelling up agenda.”

Sustainability report marks Prologis’ partnership with Planet Mark

Posted on by Keith McKinley

Prologis UK, a leading owner and developer of logistics property, is celebrating a successful 15-year partnership with Planet Mark, a sustainability certification body serving organisations across industry sectors, which has seen the company significantly reduce its carbon impact.

In 2022, Prologis announced a goal, which will be submitted to the Science Based Targets Initiative for validation, to achieve net zero emissions by 2040. This is consistent with the company’s longstanding focus on ESG. Over the past 15 years, Prologis UK, with Planet Mark, has put sustainability firmly at the forefront of its development activities; embedding it into the design and construction process from start to finish.

An example of such initiatives is the work Planet Mark undertake with Prologis UK to engage the full construction supply chain, including all contractors, to ensure end-to-end visibility of carbon emissions, thereby identifying opportunities for reductions.

To mark the 15-year partnership, Prologis UK and Planet Mark have published a joint report about Prologis UK’s industry-leading approach ton reducing and mitigating carbon emissions, along with some facts and figures about its sustainability achievements.

A key finding of the report is that based on 74 projects, spanning more than 19 million sq ft of development over a 15-year time period, Prologis UK has achieved a reduction in carbon emissions of 476,819 tCO2e. This represents an average reduction in whole-life carbon emissions of 25%.

Simon Cox, Head of Development Management at Prologis UK, said: “This has been a ground-breaking programme, implemented at a time when the measurement, reduction and mitigation of carbon emissions was new to the real estate sector. Through our work with Planet Mark, we have gained invaluable experience and expertise, which will enable us to better serve our customers as we pursue of our newly published 2040 net zero goals.”

Steve Malkin, CEO Planet Mark, said: “Over the past 15 years our work with Prologis UK has put sustainability firmly at the forefront of their developments. By striving to reduce embodied carbon in every building, engaging with communities and their supply chain, and mitigating unavoidable emissions by protecting endangered rainforest, they have stretched way beyond compliance to set a new standard for best practice. We recognise that net zero is imperative and definitions are rapidly evolving alongside innovation, and we look forward to embracing this evolution together.”

The whole-life carbon emissions of each project are measured using a Lifecycle Carbon Assessment (LCA), which follows recognised standards (BS EN 15978:2011) and methodologies, including the Royal Institute of Chartered Surveyors’ Whole Life Carbon Method, 2017. As it is impossible to eliminate all embodied carbon emissions when constructing new buildings, Prologis UK and Planet Mark also created a bespoke carbon mitigation scheme.

While it was put in place several years earlier, the approach to carbon emissions reduction, elimination and mitigation employed by Prologis UK and Planet Mark aligns closely with the UK Green Building Council’s recently published framework definition for net-zero buildings.

Prologis UK’s innovative carbon mitigation scheme has proved particularly successful in mitigating unavoidable carbon emissions through investment in large-scale rainforest protection programmes to avoid deforestation and lock-in carbon. These activities have been implemented in partnership with the global climate change charity, Cool Earth. The report quantifies the positive impact this scheme has had over the past 15 years; mitigating total embodied carbon emissions of 879,158 tCO2e  through the protection of 17,683 acres of ‘at risk’ rainforest. This has prevented the loss of 4.1 million trees to deforestation, which would have resulted in potential emissions impact of 4.8 million tCO2e.

The whole-life carbon emissions of a typical distribution centre are typically 30% operational and 70% embodied. Operational emissions can be reduced through energy efficient design and onsite renewables. Although embodied carbon can be reduced through careful material selection and detailing it can never be entirely eliminated. The sustainability model put in place by Prologis UK and Planet Mark has been successful in mitigating – 100% of the unavoidable, embodied carbon emissions for all 74 projects assessed.

The report highlights the importance of stakeholder engagement and quantifies the social impact of the 74 projects surveyed. There is a community engagement programme in place for each of the projects assessed. This has included sustainability workshops through which  for 63 local primary schools and 68 schools and colleges have achieved Planet Mark certification.

CLICK HERE to view the report jointly produced by Prologis UK and Planet Mark.

Warehouse operators seek to optimise operations

Posted on by David Priestman

A report written by VDC Research on behalf of terminal emulation leader StayLinked provides insight on evolving warehouse operations and operator optimisation priorities. Warehouse Operations 2022: Streamlining Technology Investment Time to Value and Overcoming New Technology Investment Challenges examines leading warehouse improvement initiatives. It also describes investment barriers to measuring the maturity of various technologies.

The data was gathered from 169 operations technology decision makers in North America, Europe and Asia. A survey focused on warehouse operations technology decision makers in retail, manufacturing, transportation/logistics, retail and wholesale organisations. VDC supplemented the survey-based research with in-depth interviews with leading warehouse technology investment decision makers and solution providers.

“The research was conducted to help warehouse organisations simplify and streamline testing and implement new solutions,” says StayLinked Chief Technology Officer Justin Griffith.

The timing of the research is important. Most warehouse operators, according to the VDC research, are facing significant increases in shipment volumes, number of SKUs managed, and overall inventory turns. Customer service requirements have increased as well. As a result, a greater percentage of products are picked by either the “each,” the “case,” or the “layer” in the modern warehouse.

“The respondents agree that optimising warehouse performance is critical,” Griffith says. “They are looking for new ways to improve on-time shipment and receipts.”

However, the results show many warehouses rely on manual paper-based processes. They also continue to bleed legacy assets that are not capable of addressing today’s needs. This has created an environment where many are supported by infrastructure that has not been updated for more than three years and formed a separation between warehouse operations leaders and laggards.

Another priority cited by business leaders is modernising infrastructures. Improving existing operations, they say, will give them greater agility to seamlessly test, evaluate and implement new technologies prior to making investment decisions.

The conclusions of the report reinforce the need for proven software platforms, including those supplied by StayLinked, to simplify deploying new and emerging technologies. These platforms also give operators ways to measure, monitor and deploy solutions without traditional rip-and-replace costs.

CLICK HERE to view the full report.

 

 

Garbe realises two locations for Picnic

Posted on by Keith McKinley

As part of a strategic partnership with Picnic GmbH, Garbe Industrial Real Estate GmbH is developing two new logistics properties for the online supermarket in Kaltenkirchen (pictured), north of Hamburg, and in Falkensee near Berlin.

“At both locations, we are creating a total of about 46,500 sq m of new space for Picnic, supporting the company’s growth,” says Jan Dietrich Hempel, Managing Director of Garbe Industrial Real Estate. In 2018, the online supermarket was launched in Germany and initially focused on North Rhine-Westphalia. “We are now expanding to all regions in Germany,” confirms Frederic Knaudt from the founding team of Picnic Germany. “These include modern logistics centres and hundreds of last-mile properties.”

It was only in February that the Hamburg-based project developer acquired a 44,000 sq m brownfield site at Kaltenkirchen in the district of Segeberg in Schleswig-Holstein and then extensively revitalised the area. The site is located in the Hamburg-Kiel-Lübeck city triangle, on the northern edge of the Hamburg metropolitan region. In just a few minutes, you can reach the A7 motorway, which connects Kaltenkirchen with Flensburg to the north and with Hamburg and Hanover to the south. There is also a direct connection to the public transport system.

A logistics property with a total area of 25,500 sq m will be built there by Garbe Industrial Real Estate and Graubner Holding GmbH in a joint venture. According to current plans, construction work is to begin in October. Completion is scheduled for July 2023. Together, the two joint venture partners are investing around €39m in the project.

The new building will be equipped with 24 dock levellers and four ground-level sectional doors. Parking spaces for 106 cars and eight trucks are provided in the outdoor area. Great importance is attached to sustainability. In addition to energy-saving LED lighting, a photovoltaic system will be installed on the roof of the property to generate renewable energy. In addition, certification according to the Gold Standard of the German Sustainable Building Council (DGNB) is being sought.

Garbe Industrial Real Estate is realising the second location for Picnic in Falkensee, Brandenburg, on the western outskirts of Berlin. Last year, the project developer secured a plot of land of around 36,000 sq m in the Falkensee South industrial park. The go-ahead for the construction of the planned logistics centre, which will cover almost 21,000 sq m, is also scheduled for October. The property, in which Garbe is investing a total of around €23m, is scheduled for completion in June 2023.

“Our expectation of fully leasing Falkensee during the construction period has been fulfilled,” says Jan Dietrich Hempel. “Due to the proximity to Berlin and Potsdam, logistics space is in high demand in this region.” In addition, the site has an excellent location in the industrial park. For example, the distance to the border of the Berlin district of Spandau is only about 800m as the crow flies. Falkensee is connected to the national trunk road network via the B 5, which connects the capital with Hamburg, and the Berlin ring road. The regional train station with direct connections to the centre of Berlin is only 500m away.

“Berliners and Brandenburgers can look forward to fresh food at the lowest prices and free delivery,” explains Frederic Knaudt. “The groceries are picked in Falkensee, taken to the last-mile locations and from there delivered to customers’ homes in our electric vans.” To ensure smooth handling, the new building in Falkensee will be equipped with 20 ramp gates and four ground-level gates. In addition, cold storage and deep-freeze rooms will be integrated in the hall area in order to be able to store temperature-controlled foodstuffs properly in compliance with all specifications. Parking spaces for 144 cars are to be created in the outdoor area. Frederic Knaudt: “With the commissioning, we will create around 200 new jobs in Falkensee and around 150 in Kaltenkirchen.”

Garbe Industrial Real Estate is aiming for DGNB Gold certification for the property in Falkensee. As a significant sustainability measure, a photovoltaic system will be installed on the entire roof area. In addition, extensive species protection measures were carried out and, among other things, sand lizards were relocated to a replacement habitat.

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