Major problems keeping warehousing real estate market down

03 февраля 2014
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Today medium business is growing rapidly, and medium businesses require industrial land plot areas for the construction. Land plot areas, occupying from 10 to 10 Ha, are in the biggest demand, as they are perfectly suited for the construction of manufacturing facilities from 1000 to 7000 square meters.

Northwestern, western, southern and southwestern directions remain the most popular directions for the developers. However, Leningrad direction is in the highest demand. After the construction of Moscow-St. Petersburg highway, demand for industrial land plot area in this direction has increased significantly. Warehousing operators are particularly well aware of land plot areas next to Yaroslavskoe highway. Residential area, located in the same direction, stimulates the demand for warehousing properties, as residents are in fact, potential customers.

Kievskoe. Minskoe, Mozhaiskoe, Kashirskoe, Simferopolskoe and Gorkovskoe highways are also suited for the location of manufacturing and storage facilities.

Approximately 50% of total 1-hectar land plot areas are agricultural lands. Residential lands are 25-30%, industrial lands – 20%, and conservation areas are less than 1% of the total amount.

The main difficulty is that few developers are willing to invest their own money into industrial park construction. As industrial lands are in fact former enterprises and plants, the acquisition of these lands will first of all require a survey.

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