Budapest fifth most popular logistics location in CEE
Budapest was ranked fifth among the best logistics locations in Central and Eastern Europe, according to research published in “Logistics Real Estate Network Expansion” by Prologis in partnership with Eyefortransport.
The top five locations are spread over the region with each in a different country, which reflects the expansion of the logistics sector in CEE over recent years, Prologis said. Central Poland, which includes Lodz, is CEE’s most desirable location, followed by Istanbul in Turkey, Prague in Czech Republic, Bucharest in Romania and Budapest in Hungary, the reported noted.
According to the research, the CEE region has shown the most substantial improvements since the first report was published in 2013, with nine of the top ten CEE markets improving their score. In total, eight CEE locations made it into the top 20, as compared to four in 2013, the research shows.
According to Prologis, low cost is the major factor for chosing CEE - markets in CEE dominated the rankings in the “cost of labour” and “real estate costs” criteria. Of the top ten European locations in the criterion “cost of labour”, eight are located in CEE. And of the top 20 best locations with regard to “cost of real estate”, 13 are located in CEE.
“The research is of vital importance as it helps our understanding of customers’ current and future distribution requirements in the consolidating Hungarian market. We are glad that the country improved in its ranking in the last three years, however, we see many opportunities to grow in the CEE market”, said László Kemenes, senior vice president and country manager for Prologis in Hungary. “The European market is driven by long term trends, such as proximity to economic networks, sourcing staff and consolidation. Logistics corridors such as Budapest and infill locations in the largest metropolitan areas are expected to benefit most from this,” he added.
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.