ROMANIA INDUSTRIAL DESTINATIONS - ANEVAR

ROMANIA

INDUSTRIAL DESTINATIONS2 0 2 1 a n a l y s i s

C B R E R E S E A R C H

TABLE OF CONTENTS

ROMANIAEconomy SnapshotIndustrial Snapshot

BUCHAREST REGIONEconomy SnapshotIndustrial Snapshot

WEST/ NORTH WEST REGIONIndustrial SnapshotTIMIS COUNTYEconomy FocusIndustrial FocusCLUJ COUNTYEconomy FocusIndustrial Focus

SOUTH REGIONIndustrial SnapshotPRAHOVA COUNTYEconomy FocusIndustrial Focus

CENTRAL REGIONIndustrial SnapshotBRASOV COUNTYEconomy FocusIndustrial Focus

EAST/NORTH EAST REGIONIndustrial SnapshotIASI COUNTYEconomy FocusIndustrial Focus

• INTERACTIVE DASHBOARDS

• CONNECTING LIVE

• SHARE & UPDATE

• ULTRA MOBILITY

Applies to all types of properties. www.cbre.ro/en/cbre-360-data

GDP REAL, ANNUAL GROWTH

Source: CBRE Research, 2021; Oxford Economics,, * GfK, 2019 data

4ROMANIA INDUSTRIAL DESTINATIONS 2021

R O M A N I A E C O N O M Y S N A P S H O T

MAIN MACRO INDICATORS | F 2020

Population (persons) 19,217,300

Employment (persons) 8,551,938

Workforce (persons) 9,006,594

Unemployment Rate 4.9%

Consumer Spending real, growth yoy

- 7.5%

Retail Spending real, growth yoy

1.5%

Purchasing Power (EUR/capita)* 5,881

TOP 5 MOST ACTIVE DOMAINS OF ACTIVITY,

based on workplace-based employment, F 2020

Agriculture, forestry & fishing 22%

Manufacturing 18%

Wholesale & retail trade 15%

Construction 8%

Transportation & storage 6%

4.8%2016

6.9%2017

4.6%2018

4.2%2019

-5.3% F2020

3.2% F2021

4.7%F 2022

3.1%F 2023

2.6%F 2024 2.1%

F 2025


MAIN MARKET INDICATORS | 2020

Modern stock 5.06 mln sq m

New Supply 573,700 sq m

Under - construction 398,100 sq m*

Under - construction(pre-let)

63%

Vacancy Rate 8%

Average Headline Rent3.90 EUR/sqm/month

Total Leasing Activity 931,600 sq m

* including the projects under construction with delivery in 2021

MODERN STOCK EVOLUTION TOTAL LEASING ACTIVITY EVOLUTION

R O M A N I A I N D U S T R I A L S N A P S H O T

0

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

6,000,000

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

SQ M

Modern Industrial Stock New Supply

0%

10%

20%

30%

40%

50%

60%

70%

0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

900,000

1,000,000

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

SQ M

Take-up Renewals Share of pre-lease



Company Surface Rented (sq m) I&L Park Market Sub-market Transaction Type

Carrefour 85,000 P3 Bucharest Park Bucharest A1-km13Renewal/

Renegotiation

Ikea 70,000 CTPark Bucharest

WestBucharest A1-km23 Pre-lease

Profi 58,500 WDP Regional Timisoara Pre-lease

Profi 57,000 WDP Regional Craiova Pre-lease

Mobexpert 38,694 CTPark Bucharest West Bucharest A1-km 23New lease (new

demand)

A&D Pharma 34,000 CTP Mogosoaia Bucharest Bucharest NW Pre-lease

Kingfisher 30,000 CTPark Bucharest


InterbrandsMarketing & Distribution

24,830 P3 Bucharest Park Bucharest A1-km13New lease

(relocation)

CortevaAgriscience

22,550 Aluti Bucharest Bucharest ERenewal/

Renegotiation

Gebruder Weiss 22,240 P3 Bucharest Park Bucharest A1-km13Renewal/

Renegotiation

LPP Romania Fashion S.R.L.

21,800 WDP Industrial Park

Stefanesti I & IIBucharest Bucharest N Expansion

Confidential 20,435 CTPark Pitesti Regional SouthRenewal/

Renegotiation

General Electric Power Services

16,058 Soseaua Berceni

PropertyBucharest South

Renewal/ Renegotiation

E-Pantofi 15,640WDP Industrial Park

Stefanesti I & IIBucharest Bucharest N

New lease (new demand)

Fartud 15,000 VGP Park Timisoara Regional West/North WestNew lease

(new demand)

Urgent Cargus 14,000 CTPark Bucharest Bucharest A1-km13New lease

(new demand)

eMag 12,000 Global Vision Chitila Bucharest Bucharest NWNew lease

(new demand)

Profi 12,000 WDP Park Roman Regional East/North East Expansion

Rosti 11,300 WDP Regional SouthNew lease

(new demand)

Urgent Cargus 10,600 CTPark Bucharest Bucharest A1-km13New lease

(new demand)Logistic E Van

Wijk10,400 P3 Bucharest Park Bucharest A1-km13

Renewal/ Renegotiation

Mobexpert 10,224CTPark Bucharest


Selgros 10,000 ACT Cold Storage Bucharest A1-ring roadNew lease

(new demand)

DSV 10,000 CTP Stefanesti Bucharest Bucharest NNew lease

(new demand)


REGION COMPRISING COUNTIES

Bucharest Bucharest, Ilfov & proximities

West/North West

Caras Severin, Timis, Arad, Cluj,Bihor, Salaj, Maramures, SatuMare

South

Mehedinti, Gorj, Valcea, Arges,Dambovita, Prahova, Buzau,Braila, Tulcea, Ialomita, Olt, Dolj,Calarasi, Giurgiu, Teleorman,Constanta

CentralHunedoara, Alba, Sibiu, Brasov,Covasna, Harghita, Mures, BistritaNasaud

East/North East

Galati, Vrancea, Vaslui, Bacau,Neamt, Iasi, Suceava, Botosani

WEST/NORTH WEST

CENTRAL

SOUTH

EAST/NORTH EAST

BUCHAREST


Bucharest45%

West/North West24%

South16%

Central13%

East/North East2%

CBRE RESEARCH

INDUSTRIAL DESTINATIONS

BUCHAREST REGION

2021



B U C H A R E S T R E G I O N E C O N O M Y S N A P S H O T

MAIN MACRO INDICATORS | F 2020 BUCHAREST & ILFOV

Population (persons) 2,347,053

Employment (persons) 1,217,055

Workforce (persons) 1,187,977



- 6.9%

Retail Spending real, growth yoy 0.6%

Purchasing Power (EUR/capita)* - Bucharest- Ilfov

10,4527,312

Average net salary (EUR/month)** -Bucharest- Ilfov

871678



Source: CBRE Research, 2021; Oxford Economics, * GfK, 2019 data, ** NIS



Construction 9%

Public administration & defence 8%

Manufacturing 8%

3.7%2016

6.6%2017

4.8%2018

5.4%2019

-4.2% F2020

3.1% F2021

5.2%F 2022 3.4%

F 20233.0%

F 20242.5%

F 2025


B U C H A R E S T R E G I O N I N D U S T R I A L S N A P S H O T


Modern stock 2.30 mln sq mNew Supply 373,100 sq mUnder -construction

143,000 sq m*

Under –constructionpre-let

56%

Vacancy Rate 11%Average Headline Rent

3.90 EUR/sq m/month

Main Developers

CTP, WDP, P3, Logicor, Helios Phoenix, Cromwell, Element Industrial, Globalworth/Global Vision, MLP

Total Leasing Activity

665,000 sq m


BUCHAREST STOCK BY SUBMARKET TOTAL LEASING ACTIVITY EVOLUTION

West66%

North West14%

North 11%

South West3%

East3%

South 3%

-10%

0%

10%

20%

30%

40%

50%

60%

70%

80%

0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

SQ M


DN1A DN 200B

A3

DN 200

DN E60

DN 300

DN 503

DN 301

A2

A1

DN 301A

DN 4

DN 401DN 5

DN19

DN 6

DN 602

DN 601

DN 7

DN 1A


B U C H A R E S T I N D U S T R I A L S N A P S H O T

NW

A1-km 23

A1-km 13

A1- ring road

SWS

E

N

STRENGHTS

• Capital city and largest industrial hub in the country;• Established industrial market with international developers and owners presence comprising blue chip tenants;• Top consumer market with largest purchasing power in Romania;• Good connectivity with regional cities, developed infrastructure and public transportation;• Multiple high quality spaces as 91% of the modern stock is class A;• Relatively new buildings, 56% of the total stock surface being delivered in the last six years;• Skilled labour force, excellent speakers of foreign languages (e.g. English, French, German, Italian, Spanish);• High market liquidity.

OPPORTUNITIES

• Capital city attractiveness; • Ongoing infrastructure development;• Untapped potential for the less developed Bucharest’s sub-markets;• Increased demand for logistic spaces boosted by e-commerce.

CBRE RESEARCH


WEST / N WEST REGION

2021

13


Modern stock 1.20 mln sq m



Under - constructionpre-let

72%

Vacancy Rate 5.2%

Prime Rent 3.90 EUR/sq m/month

Main Developers

VGP, CTP, WDP, Logicor, Helios Phoenix,

Globalworth/Global Vision, Logicor, Zacaria,

Transilvania Constructii, Nervia



TOTAL LEASING ACTIVITY EVOLUTION

W E S T / N O R T H W E S T R E G I O N I N D U S T R I A L S N A P S H O T

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

0%

10%

20%

30%

40%

50%

60%

70%

80%

0

50,000

100,000

150,000

200,000

250,000

SQ M



STRENGHTS

• Established regional logistics hub;• Good infrastructure and connectivity with the capital city and the western and north western country borders;• Excellent infrastructure connections to neighbour countries that allow to successfully establish hubs for the CEE region;• Easy access to Pan European corridors;• Skilled work force;• Less expensive labour costs;• 85% of the modern stock is class A;• Region covered by national and international renowned developers and tenants;• Good market liquidity.

OPPORTUNITIES

• Development land availability;• Limited competition;• Strong demand powered by retailers active both online and offline.

W E S T / N O R T H W E S T R E G I O N I N D U S T R I A L S N A P S H O T


T I M I S C O U N T Y E C O N O M Y F O C U S

MAIN MACRO INDICATORS F 2020, TIMIS

Population (persons) 707,090

Employment (persons) 305,798

Workforce (persons) 304,817



- 6.9%


Purchasing Power (EUR/capita)*7,594

Average net salary(EUR/ month)**

710




Manufacturing 37%




Public administration & defence 5%


6.1%2016

1.6%2017

5.5%2018 4.5%

2019

-5.2% F2020

4.0% F2021

5.2%F 2022 3.7%

F 20233.2%

F 20242.8%

F 2025



Modern stock 487,300 sq m




86%

Vacancy Rate 5.1%

Average Headline Rent3.90 EUR/sqm/month


TOTAL LEASING ACTIVITY VS TAKE-UP EVOLUTION


T I M I S C O U N T Y I N D U S T R I A L F O C U S

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

0%

10%

20%

30%

40%

50%

60%

70%

80%

0

20,000

40,000

60,000

80,000

100,000

120,000

SQ M



C L U J C O U N T Y E C O N O M Y F O C U S

MAIN MACRO INDICATORS | F 2020CLUJ






- 6.9%




814





Manufacturing 16%


Construction 9%



12.4%2016

14.5%2017

4.8%2018

5.7%2019

-4.1% F2020

4.1% F2021

5.3%F 2022 3.9%

F 20233.6%

F 20243.0%

F 2025







0.0%

Vacancy Rate 6.1%

Prime Rent3.90 EUR/sqm/month




C L U J C O U N T Y I N D U S T R I A L F O C U S

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

0%

10%

20%

30%

40%

50%

60%

70%

80%

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

45,000

SQ M


CBRE RESEARCH


SOUTH REGION

2021







77%

Vacancy Rate 1.4%

Average Headline Rent

3.90 EUR/sq m/month

Main Developers

WDP, Alinso, CTP, Logicor, Globalworth/Global Vision, Helios Phoenix Logicor, Zacaria


S O U T H R E G I O N I N D U S T R I A L S N A P S H O T


2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

0%

10%

20%

30%

40%

50%

60%

70%

80%

0

20,000

40,000

60,000

80,000

100,000

120,000

SQ M




STRENGHTS

• Limited competition;• Over 90% of the modern stock is class A;• Good infrastructure and connectivity with the capital city and the southern and eastern country borders;• Accessibility to a main Black Sea harbour;• Cost effective workforce;• Counties with high unemployment rate.

OPPORTUNITIES

• Development land availability;• Limited competition;• Increasing demand for logistics and production spaces.

S O U T H R E G I O N I N D U S T R I A L S N A P S H O T



P R A H O V A C O U N T Y E C O N O M Y F O C U S

MAIN MACRO INDICATORS | F 2020 PRAHOVA






- 7.9%




628



Manufacturing 24%



Construction 8%



10.3%2016

-14.2%2017

4.3%2018

3.3%2019

-6.6% F2020

4.1% F2021

4.4%F 2022

3.1%F 2023

2.4%F 2024

2.1%F 2025





Under - construction -

Under – constructionpre-let

-

Vacancy Rate 1.3%

Average Headline Rent 3.90 EUR/sq m/month


P R A H O V A C O U N T Y I N D U S T R I A L F O C U S


0

10,000

20,000

30,000

40,000

50,000

60,000

0

10,000

20,000

30,000

40,000

50,000

60,000

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

SQ MSQ

M

Total Leasing Activity Take-up

CBRE RESEARCH


CENTRAL REGION

2021





Under – construction 26,100 sq m*


39%

Vacancy Rate 7.8%

Average Headline Rent

3.85 EUR/sq m/month

Main DevelopersWDP, CTP, VGP, Zacaria, ICCO


C E N T R A L R E G I O N I N D U S T R I A L S N A P S H O T


2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

0%

10%

20%

30%

40%

50%

60%

70%

80%

0

10,000

20,000

30,000

40,000

50,000

60,000

SQ M




STRENGHTS

• Emergent industrial hub with exquisite location in the heart of the country and good road connections;• Limited competition;• Over half of the modern stock is class A, respectively 67% of the analyse areas;• Skilled labour force, excellent speakers of German languages;• Affordable cost of labour.

OPPORTUNITIES

• Undergoing infrastructure works;• Development land availability;• Limited competition;• Upward trend of the industrial leasing activity.

C E N T R A L R E G I O N I N D U S T R I A L S N A P S H O T



B R A S O V C O U N T Y E C O N O M Y F O C U S

MAIN MACRO INDICATORS | F 2020BRASOV






- 7.6%




615



Manufacturing 25%


Construction 10%




9.6%2016

5.6%2017 4.7%

20184.4%2019

-5.7% F2020

3.9% F2021

4.6%F 2022 3.2%

F 20232.7%

F 20242.2%

F 2025







42%

Vacancy Rate 5.0%



B R A S O V C O U N T Y I N D U S T R I A L F O C U S



13%

5%

20%

0%

39%

12%

0%0%0%

11%2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

CBRE RESEARCH


EAST / N EAST REGION

2021







0%

Vacancy Rate 9.4%


Main DevelopersWDP, TransilvaniaConstructii, Local developers


E A S T / N O R T H E A S T R E G I O N I N D U S T R I A L S N A P S H O T



0%0%

21%

0%0%0%

53%

0%4%

22%

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020


STRENGHTS

• Incipient industrial destination;• Relatively new modern stock;• 77% of the existing modern stock is class A; • Affordable cost of labour;• University hub at Iasi.

OPPORTUNITIES

• Reduced presence of international developers;• Development land availability;• Limited competition.

E A S T / N O R T H E A S T R E G I O N I N D U S T R I A L S N A P S H O T



I A S I C O U N T Y E C O N O M Y F O C U S

MAIN MACRO INDICATORS | F 2020IASI






- 6.7%




672





Manufacturing 10%

Construction 9%

Education 4%


4.4%2016

14.6%2017

4.7%2018

5.7%2019

-3.9% F2020

3.3% F2021

4.8%F 2022

3.4%F 2023

3.1%F 2024

2.5%F 2025




New Supply -

Under - construction -


-

Vacancy Rate 20.8%



I A S I C O U N T Y I N D U S T R I A L F O C U S


0%0%

79%

0%0%0%

11%

0%0%10%

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

CONTACTS

Disclaimer: Information contained herein, including

projections, has been obtained from sources

believed to be reliable. While we do not doubt its

accuracy, we have not verified it and make no

guarantee, warranty or representation about it. It is

your responsibility to confirm independently its

accuracy and completeness. This information is

presented exclusively for use by CBRE clients and

professionals and all rights to the material are

reserved and cannot be reproduced without prior

written permission of CBRE.

To learn more about CBRE Research, or to access additionalresearch reports, please visit the Global Research Gateway at

cbre.com/research.

CBRE Romania8A, Aviatorilor Blvd., 1st floor, District 1, Bucharest, Romania T: +4021 313 10 20 www.cbre.ro

DANIELA GAVRILHead of [email protected]

ELENA MORARIUSenior Research [email protected]

RAZVAN IORGUManaging Director [email protected]

RESEARCH DEPARTMENT

CARMEN RAVONHead of A&T Services | Retail & [email protected]

MADALIN ARESMERITOAIESenior Consultant | [email protected]

TUDOR IUGASenior Consultant | [email protected]

DELIA MIHAILBusiness Coordinator | [email protected]

MULER ONOFREIBusiness Development [email protected]

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ROMANIA INDUSTRIAL DESTINATIONS - ANEVAR