Dennis Selinas, the new Group CEO of Globalworth
Interview published on ZF.ro
♦ The demand for industrial spaces has been increasing for more than two years as Romania becomes a regional center and the expansion of online commerce accelerates the demand for new logistics spaces.
Dennis Selinas, the new Group CEO of Globalworth, is preparing for new industrial investments and explains that the current partnership with Global Vision, the company led by Sorin Preda, is moving forward.
“In the next two years, we will invest more in the industrial field because the demand is high and the offer is not keeping up. At the moment we are putting a lot of emphasis on logistics, we are betting on the area near Bucharest, Constanţa and Timișoara. When the collaboration with Global Vision began, logistics and industrial fields did not have the weight they have now. Thus, the collaboration is stricter and more sophisticated because the importance is different. Now the collaboration is much more important because it represents an even bigger share of our portfolioˮ, said Selinas.
In October 2022, Globalworth Industrial, the logistics and industry sub-brand of Globalworth, announced the expansion of its portfolio by investing, together with Global Vision, in an industrial and logistics project with a total area of 37.9 thousand square meters in Târgu-Mureş.
Following this transaction, Globalworth is present in 7 important cities in Romania: Arad, Bucharest, Constanţa, Oradea, Pitești, Târgu Mureș and Timișoara. Globalworth continues its partnership with Global Vision, Târgu Mureş being the third location within the partnership, after the development of the Constanţa Business Park and Chitila Logistics Hub projects.
With the possibility to develop up to 18,000 sqm of warehouse space, temperature-controlled units, office and social spaces, Mureş City Logistics is expected to be completed and handed over in Q1 2023.
From April 2022, Globalworth also collaborated with those from Catted on the industrial development side for the Business Park Ştefăneşti project. The first phase of the Ştefăneşti Business Park was completed in Q4 2022, with full delivery of the project expected to take place in S1 2023.
JLL consultants previously explained that the evolution of the industrial market in Romania in the first nine months of 2022 confirmed analysts’ expectations regarding the possibility of setting a new historical record by the end of 2022, thus continuing an upward trajectory that began in 2018.
The industrial market in Romania continued to have an impressive evolution in Q3 2022, with gross demand reaching a record value of approximately 408,700 sqm, compared to 188,400 sqm in the second quarter and 129,000 sqm in the same period last year.
In the first nine months of the year, gross demand registered a 68% increase compared to the same period in 2021, reaching the value of 881,400 sqm, compared to 525,400 sqm.
A quarter of the total leased space in Q3 targeted tenants from the retail sector, while logistics came second with 14% of the total, according to JLL data.
In the third quarter, 282,100 sqm were delivered, a triple value compared to the previous quarter, which brought the modern industrial stock in Romania to a total of 6.3 million rentable sqm. As a result of the high number of deliveries in Q3, the vacancy rates registered, at the national level, an increase from 2.6% to 4%, a still low level.