CTP’s portfolio currently comprises 10.5 million sqm, of which 2.5 million sqm in Romania, in the cities of Arad, Brasov, Bucharest, Cluj-Napoca, Craiova, Deva, Oradea, Pitesti, Sibiu and Timisoara. The company is also present on the markets in the Czech Republic, Slovakia, Hungary, Poland, Serbia and Bulgaria, as well as in Germany, Austria and The Netherlands.
“CTP has long been a believer in the potential of CEE and there is no doubt that a combination of strong economic fundamentals, emerging global mega trends – such as the rise in nearshoring – and key real estate market dynamics, mean the CEE region will continue to outperform Europe’s more developed markets, driving further demand for logistics and industrial space. CTP is perfectly placed to meet this demand, with a significant development landbank across the region that will enable us to double our GLA by the end of the decade, developing and operating the highly sustainable, client-focused industrial and logistics space that modern occupiers demand,” said CTP’s CEO Remon Vos.
CTP’s current portfolio stands at 10.5 million sqm and its development landbank totals 20 million sqm across its core CEE markets, as well as in Germany, Austria and the Netherlands. The group expects to generate annual rental income of EUR1 billion once its portfolio doubles in size.
Estimates show that the growth of CEE-based economies will be two times higher than the Eurozone average between 2023 and 2026. The economic expansion will also push domestic consumption higher, with online sales set to grow by around EUR25 billion until 2026 in CEE. This will also create more demand for industrial spaces, with net absorption rates of warehouses in this region outperforming Western and Southern European countries in the next five years.
CTP is seeing strong demand for its development pipeline in new locations, alongside expansions at its longstanding CTParks, from existing and new tenants across CTP’s CEE markets, which covers the Czech Republic, Slovakia, Romania, Hungary, Poland, Serbia and Bulgaria, and Western EU markets. The demand is being driven by a combination of factors, such as the rise of nearshoring and friendshoring; improved infrastructure, a diverse and expanding economy; the accelerating growth in e-commerce from a low base; as well as skilled workforce and strong labour market fundamentals.