With an area of 68,000 sqm, WestLog Distribution Centre was introduced to the market in the middle of April 2008 that is hardly six months ago, after the completion of major renovation and maintenance jobs.

Since the completion of the building, a number of short- and long-term contracts of lease have been concluded, as a result of which the degree of utilization of the building has reached 35% by now – we learned from WestLog DC and Colliers International.
Besides the "all at once" concept (concerning e.g. warehousing, cross-docking, packaging, high-tech operation, value-added services, and office administration) it was the possibility of immediate move-in and the flexible leasing construction that made the real estate appealing to clients, especially at a time when the markets of speculative property development may become uncertain due to the credit crunch, said György Szucsány, executive director of WestLog DC.
The centre in Biatorbágy has become an ideal place of business for small and medium-size enterprises, as well as international distribution service providers. There are some tenants renting offices only, either for a short (Accacce) or a longer (Dexerit) period of time. It is worth mentioning Vowel Complex and Javépcoop, two warehousing and distribution companies renting smaller areas, and the quickly developing Boy Kft., which is renting a high warehouse, a cross-docking, a high-tech warehouse and an office, too.

As far as market-leading, international distributional service providers are concerned, beside Fiege and Waberer’s choosing temporary warehousing, there is Liegl & Dachser, which started to develop its food-distribution business line in West Log DC. Among the new renters there is Eurodoc 2000, dealing with document management, Bonfreeze renting the frozen warehouse, as well as Holleman engaged in oversize and overweight transportation.
Concerning the new renters and lease schemes György Szucsány highlighted that – as the rental fees are influenced by market mechanisms – leasers can gain competitive advantage with the help of innovative approaches and flexible conditions. WestLog has noticed an efficient leeway and market niche in the field of short-term lease, and it has been proven in practice that there is demand for short-term lease of prime-category warehouses, as opposed to the three-year contracts of lease normally concluded in the real estate market. Leasers are similarly ready to satisfy unique and customized demands concerning the size of the rent area, or the leased property (as well as goods security and logistics).

At the moment WestLog is taking part in several large-scale tenders, and – according to a forecast by Colliers International – the current rate of utilization of 35% may grow as high as 70 or 80%.