Two major acquisitions in the Madrid region have underlined the growing demand for Spanish logistics property assets in the face of accelerating e-commerce penetration driven by the coronavirus crisis.
While Clarion Partners Europe, previously known as Clarion Gramercy, has acquired a new 37,160 sq m warehouse near Illescas Yeles, south of Madrid, Geneva-headquartered Stoneweg has acquired a 211,668 sq m former Coca-Cola bottling plant which it will redevelop to provide over 110,000 sq m of logistics space (CGI pictured).
Clarion Partners Europe’s acquisition was built-to-suit and the asset was completed earlier this year. It is leased to Mediapost Spain, part of La Poste group, on a seven-year double-net lease.
The Illescas market is located 40km south of Madrid centre which can be reached within 35 minutes.
H1 logistics lettings up 56% in Madrid
Clarion said that despite the economic uncertainty caused by Spain’s nationwide lockdown announced on 13 March, the Madrid logistics market has continued to see strong take up, underpinned by accelerating e-commerce trends. It says that 260,000 sq m of space was leased during H1, representing a 56% increase compared to the same period last year.
Clarion Partners Europe’s CEO Alistair Calvert said: “This is an institutional warehouse asset in one of Spain’s major logistics hubs, let to a strong covenant in a market which is expected to continue to grow due to the rapid increase in e-commerce penetration caused by the Covid-19 pandemic.”
The Stoneweg project, which is expected to complete in early 2024, is adjacent to the city’s M-50, orbital motorway and the main route between Madrid and Lisbon.
Jaume Sabater, founding partner and CEO at Stoneweg said: “The Spanish market has a scarcity of grade-A industrial stock and last year Madrid saw its highest take-up of warehouse space in a decade.”
He added that land for logistics facilities is difficult to come by, particularly in the capital.
“Recent experience of the COVID pandemic has accelerated pre-existing ecommerce trends,” Sabater said.
Stoneweg has been present in Spain since 2015 and has invested over €1.7 billion there in both equity and debt .