The demand for logistics and industrial spaces reached 575,000 sqm during the first 9 months of 2024, down 20% compared with the same period of 2023, according to a Cushman & Wakefield Echinox report.
New deliveries of projects amounted to 275,000 sqm, while another 430,000 sqm are under development. The report estimates that around 500,000 sqm of new industrial spaces will be completed in Romania by year-end, a figure similar to 2023.
Bucharest remained the most popular location for companies in search of industrial and logistics spaces, having a share of almost 50% of the Q1-Q3 transacted volume. At the same time, Timișoara, Ploiești and Cluj have been the most active regional markets.
Notable transactions in Q3 included a 6,000 sqm lease by distribution company Alliance Healthcare at WDP Park Dragomiresti, and a 9,000 sqm lease at CTPark Pitesti by an American company specializing in safety and lighting systems manufacturing.
"Even in a context of decreased demand compared to the previous year, Romania's logistics and industrial space market remains resilient, supported by a substantial volume of new leases and expansion projects. With a very high occupancy rate of over 95% and a cautious approach to new projects development, Romania’s logistics sector continues to be a vital and healthy driver of economic growth and a barometer of industrial activity,” says Rodica Târcavu, Partner Industrial Agency at Cushman & Wakefield Echinox.
The outlook is optimistic, as Romania holds strong medium and long-term development potential in both distribution and production sectors, she added.
At the end of Q3 2024, Romania’s industrial stock amounted to close to 7.3 million sqm.
