Industrial properties for rent around Budapest

According to portfolio.hu, agglomeration surpasses Budapest in the industrial real estate market. While the latter is only the third biggest in the country, the industrial property market around Budapest, with its 40% share, is indisputably the most important storage location in Hungary.

The capital has an important role in the Hungarian real estate market. The 85% of the industrial property portfolio is concentrated in Budapest and its surroundings; within this the largest area is the agglomeration, where more than 40% of the total Hungarian industrial property portfolio can be found.

The biggest market

In the agglomeration, there is a more- than 2.4 million square meter modern industrial area, which is three times more than in the capital. About 55% of the spaces are the result of speculative developments, while the remaining is mostly private owned.

Geographically, the agglomeration as an industrial property area center is divided into three parts, the northern, southern and western submarkets. The largest geographic concentration can be found in the south sector of M0 motorway and the junction point of M0-M1-M7. So the largest submarket is the southern one, where there is more than half of the rental stock. This share is only 11% in the North.

Vacancy remains high

61 percent of the current industrial agglomeration housing stock was built between 2005 and 2010, which led to a significant overdevelopment because of the economic crisis. The vacancy rate has exceeded 20% and stood a similarly high level for a long time. It is no wonder that the volume of development decreased significantly in the last 4 years, only 130 thousand square meters of new space was completed. Currently, there is 377 600 square meters             of vacant buildings, the average vacancy rate is currently 16% in the agglomeration of Budapest. However, several houses, which were previously utilized by their owners, are vacant, which increase the vacancy rate. The size of the proposed development is quite significant, more than 865 thousand square meters. Among the largest companies in this agglomeration is DHL, Aldi, Geodis, the HOPI, Auchan, Gebrüder Weiss, and DB Schenker, portfolio.hu said.

Largest park

Prologis Park Budapest-Gyal can be found in the southern part of the agglomeration, at the crossroads of the M5 motorway and the M0 ring. There are 8 buildings in the park, with more than 150 thousand square meters of offices and storages. Among the renters, there are Iron Mountain, GE, cargo partner, Sauflon, Geodis Calberson, Nagel Hungaria and Diebold. The park is currently fully leased.

Largest park area for rent

ATI-Sziget Industrial Park is located in the Csepel Island, between Szigetszentmiklos and Szigethalom and it was built in 2002. The facility is situated in in a total of 87.7 hectares with a total of 84 000m² of warehouse space. Currently, the size of the area for rent is 36 thousand square meters. The office area is 34 thousand square meters, of which 28,700 are currently for rent.

The rent is EUR2/m² for storage areas and EUR 5-7 for office areas. The area maintenance fee (service charge) EUR 0.26/sqm. Among the renters, there are Nilfisk Producer, Cleaning Equipment Manufacturer Ltd., Industrial Technique Hungary Ltd. (Member of Atlas Copco Tools AB group), the Obuda Bakery Ltd., the Draspo-Pace Car and Service Ltd., Dr. Marcus Hungary, the Ostorhazi Coating Technology Ltd., the Persecutor Security Ltd. and Forest-Paper Ltd.

The most expensive industrial park

The East Gate Business Park has been completed in 2007. It is located in the north-east of Budapest agglomeration, Fot. There are 140      thousand sqm of warehouse area, of which 6000 are empty at present. The rent is EUR 4/sqm, which is one of the most expensive, according to Raktar.info. The offices cost EUR 8.5/sqm. General Electric, Philip Morris, Lear Corporation, Igepa, Nefab, and Central Drinks are also among the renters.

The cheapest industrial park

The Trimaran Storage Base is located 30km away from the center of Budapest, in Monor industrial zone. The 32 thousand m²-large area has 7 buildings with a total area of more than 13 thousand sqm, of which 10.400 sqm is for rent. According oto Raktar.info, the rent is the lowest in the agglomeration of Budapest, it costs only EUR 1.4/m². There are offices in a total area of 650 sqm, they cost EUR 3.5/m².

based on the article of portfolio.hu
translated by BA

Photo: www.egbp.hu, www.raktar.info, www.atisziget.hu, www.in-management.hu

Source: http://www.portfolio.hu