Panattoni steps up brownfield sites development in Europe
Panattoni is stepping up its sustainable development strategy. The logistics group said yesterday that it’s increasingly turning to brownfield sites, which now account for one third of the total space completed. In Germany, France and the Czech Republic post-industrial land makes up more than half of all projects under development.
Interest in post-industrial land is increasing, the group said yesterday, and the reclamation of brownfield sites will be one of the main trends on the warehouse market over the next few years.
“Post-industrial sites are extremely attractive to investors, despite their higher development costs”, said Michal Samborski, Head of Development, Panattoni. “They are most often located within city limits, which means they have better communication and access to infrastructure. They are readily taken up by e-commerce and logistics companies as part of the so-called last mile”.
In Germany, Panattoni’s brownfield site developments accounted for a large majority of the total, which was as high as 70%. In the Czech Republic the share increased from 38% in 2020 to 60% in 2022, and in Slovakia from 66% to 80%.
In France, the Netherlands, and Belgium, brownfield developments on average accounted for at least half of the investment portfolio over the 2020 to 2022 period.
Construction of Panattoni’s park in the Grand Paris Sud industrial zone will start this summer. The park will be built on a site previously occupied by a concrete factory and a warehouse for construction materials and the site will be transformed into a modern logistics centre, to serve France’s booming e-commerce market.
As part of the redevelopment, new buildings are to be constructed with façades made of recycled materials and solar panels will be installed on 60% of the roofing over the industrial space while the roofs of the office buildings are to be covered with vegetation.
In Poland, the percentage of the company’s brownfield site developments came to 33% in 2022, and they are increasing in number, as the supply of construction land is dwindling and competition for investment sites is intensifying.
“Brownfield investments bring back to life assets and spaces that have lain idle for years, and their reuse contributes to conservation of the environment”, said Piotr Kociolek, Environmental Director, Panattoni. “We restore degraded land to its original purpose, while at the same time carrying out a range of activities to conserve the environment and local ecosystems. In this way, we contribute to reducing CO2 emissions, we create jobs and we improve the quality of life of local communities”.