P3 moving towards expansion in UK and Hungary markets

P3 LOGISTIC Parks could have a presence in the UK within the next year, the company’s chief executive officer Ian Worboys told MIPIM News. 

“We’ve started gently looking at the UK. It is an island with a 60 million population, so there will always be demand for warehouses,” he said.

“We have over 300 tenants — our customers — and a lot have UK operations, such as DHL. We’re one of their trusted partners and to be in the UK with them would be good.”

P3, which was acquired by Singaporean sovereign wealth fund GIC from TPG and Ivanhoe Cambridge in November 2016, is currently active in 11 European countries, but the UK has been a notable exception. Hungary is another obvious gap and Worboys said P3 is also looking at expansion there too.

“GIC does have different ambitions on the growth of P3,” Worboys explained.

He said that the strategy is being finalised but that P3 will increase assets under management. Building out its land bank, which has zoned consent for 1.8 million sq m within two-to-three years is one strand of the strategy that will increase assets by 50%. 

The firm also plans to acquire sites close to existing schemes, where it is already known and trusted, and to buy land with planning consent as well as income producing assets, including portfolios.

“The pace depends upon the market,” Worboys said. “But the order books are full of build-to-suit requirements and there seems to be no slowdown in demand.”

The focus of occupier demand is in the Czech Republic, Poland and Germany, but Romania’s comparatively low wage rates and flexible unions make it attractive too.

This article was previously published in the MIPIM Daily News 1,  the click on the logo below to discover the digital edition.


About Author

Graham Parker

MIPIM News editor-in-chief Graham Parker is a UK-based freelance journalist and editor. After taking a degree in English he trained as a surveyor before moving into real estate journalism. He is editor of Retail Destination and has been editor of Europroperty , property editor at Retail Week and European bureau chief for globest.com.

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