Logicenters is now expanding its presence outside the Nordic region with its first venture in Poland. As a leading logistics property company in the Nordic region, Logicenters is now looking to bring its successful concept to one of Europe’s largest logistics markets, focusing strongly on the long term, quality, flexibility, and sustainability.
Logicenters is continuing its expansion. The logistics facility operator is now expanding its successful logistics concept into Europe, with Poland its first target market outside the Nordic region. Poland is the fifth largest logistics property market in Europe and is also one of the fastest growing markets on the continent. In 2019, a total of 2.7 million m2 of logistics space was developed in the country. In comparison, around 650,000 m2 of logistics space was developed in Sweden – the largest market in the Nordic region – during the same period. From a geographical perspective, Poland is also ideal with good communications throughout the country, to the Nordic region and the rest of Europe.
As a first step, Logicenters has acquired the Polish company BIK SA and its current portfolio, which includes four existing properties with two potential extensions, as well as a plot of land – with the total logistics space estimated to be more than 115,000 m2. The facilities are located in the cities of Wroclaw and Katowice in southern Poland. With its high population density and large clusters of factories, the region is a strategically important location for logistics.
“We have developed our Nordic portfolio exponentially in recent years and our ambition is to continue to strengthen our presence here. But we also see Poland as a natural step forward in Logicenters’ development. This is partly because the Polish logistics market is still in its infancy and we believe there is enormous potential for us to assist in developing the logistics facilities of tomorrow in the country, and partly because many of our existing tenants already have operations in Poland. Naturally, we want to continue to support them by growing in line with their operations in both the Nordic region and Poland, something which is entirely in line with how we operate”, says Matthias Kettelhoit, CEO, Logicenters.
Focus on sustainability
Compared with many other parts of the world, the Nordic logistics market is ahead of the pack when it comes to sustainable logistics. Therefore, as it moves into the European market, Logicenters sees it as a natural step to bring its Nordic sustainability agenda along with it. And as always, the facilities will also meet high sustainability and energy efficiency requirements in Poland.
“We want to be able to develop the properties of tomorrow in such a way that they remain of a high quality for many years to come. Key to this is the development of sustainable facilities that are not only durable, sustainable and energy efficient, but also cost effective over time. We are already experiencing a high demand for more sustainable logistics, with many of our tenants requiring that the properties in which they operate meet high sustainability standards. And just as we have been leading the way towards a more sustainable transition in the Nordic logistics industry, we will also be sure to pave the way for more sustainable logistics in Poland. This is something we are convinced will benefit both business and the environment”, concludes Matthias Kettelhoit, CEO, Logicenters.
With the ambition to switch to 100 percent renewable electricity in its operations before 2025, Logicenters is now ramping up its efforts by installing solar panels on six more of its facilities. This means that Logicenters will be doubling the number of solar plants compared to today. It is estimated that the solar panels will generate a total of 9 gigawatt hours of electricity annually.
Logicenters has recently signed an agreement to install solar plants at six of its facilities across the Nordic region. Logicenters currently has solar plants on seven of its properties. With the installations now being carried out, Logicenters will be doubling the number of solar plants installed on its facilities. It is estimated that the solar cells will have a total capacity of up to 10,000 kWp and will produce 9 gigawatt hours of electricity on an annual basis. This is equivalent to the energy required to supply 1,800 homes with electricity for an entire year.
For example, Logicenters and its tenant Speed Group are currently installing the Nordic region’s largest rooftop solar plant in Borås, Sweden. At this property alone, the solar cells cover a roof area of 60,000 m2 and have a capacity of 5,000 kWp.
“We are very pleased to be managing this sustainable transition in the logistics industry. It is of the utmost priority to us that we reduce our climate footprint as much as possible while simultaneously securing the future energy needs of our tenants. By installing solar cells on our roofs, we can also utilise very large areas not normally in use, instead of taking up land that may be better suited for other things”, says Matthias Kettelhoit, Head of Logicenters.
As the leading developer and owner of modern logistics facilities in the Nordic region, Logicenters also wants to manage the transition to renewable energy within the logistics industry. Through NREP, Logicenters has become affiliated with RE100, a global coalition of companies committed to renewable energy. Consequently, Logicenters is undertaking to switch to using 100 percent renewable electricity throughout the company’s property portfolio before 2025.
“Solar cells are just one part of our comprehensive sustainability work. We are also maintaining an ongoing dialogue with our tenants regarding the implementation of energy efficiency measures that will also mean significant potential savings for them,” says Karin Sjövall, Head of Sustainability at Logicenters.
Logicenters is beginning 2021 with increasing of pace and strengthening the development team through key recruitment. The logistics property company has recruited Sanna Vikström in the role of Development Manager for Logicenters in Finland. Sanna has substantial experience in project development, having most recently worked as a construction project director at Sitowise Oy. Logicenters has also recruited for several posts to the Swedish office.
Logicenters has high ambitions and is kick-starting 2021 with key recruitment. During the past year, Logicenters in Finland has implemented new developments in Kurikantie, Pirkkala, and now has a number of projects in the start-up phase. In order to support the high rate of growth, the logistics property company has recruited Sanna Vikström as Development Manager in Finland. Sanna has a wide range of experience in project development, having most recently worked as a construction project director at Sitowise Oy. She will now become a key member of Logicenters’ team, continuing to promote the investments in Finland.
“The demand for modern logistics properties are growing and we are constantly looking for experienced people to join us. This is why Sanna is a very valuable recruit. With her extensive experience in project development, she will form an important piece of the puzzle in our future expansion. I would therefore like to warmly welcome Sanna and I look forward to working with her to take Logicenters forward,” says Eva Sterner, Head of Development at Logicenters.
Sanna will be responsible for Logicenters’ development team in Finland. This covers everything from dialogues with the municipalities regarding local management plans and building permits, identifying land for potential new development projects to being responsible for procurement. An important part of the work will also involve maintaining an active dialogue with Logicenters’ tenants.
“Joining such a successful and leading company as Logicenters is something I am very pleased and proud of. Logicenters’ expansive development is an indication that it is an ambitious company that is rapidly expanding its market share and growing. I am therefore very much looking forward to working with my new team to continue promoting Logicenters’ project development,” says Sanna Vikström, Development Manager, Logicenters Finland.
In addition to Sanna in Finland, Logicenters has also made three other important recruitments in Sweden, which is also a rapidly growing market. Rebecca Axelsson joins the Swedish office as an architect together with Peter Zekovic and Johan Bäcklund, who will both be assistant project managers.
Construction of Logicenters’ solar plant now under way:
With an area of 60,000 m2 and capacity of 5 megawatts, the solar plant in Borås is the largest ever installed on a rooftop in the Nordic region. Behind the investment is real estate investor NREP through its logistics arm, Logicenters, and tenant Speed Group. Solkompaniet has been commissioned to erect the plant and installation of the solar cells has now begun. In addition to meeting the property’s electricity needs, it is estimated that the plant will contribute with 2.6 million kilowatt hours of solar electricity to the grid. The rooftop plant will be by far the largest in Sweden.
According to the Swedish Energy Agency’s statistics, only one solar plant with a capacity of more than 1 megawatt was built in Sweden in 2019. Said plant was built on the ground and has a capacity of 1.5 megawatts. A plant is now being developed which is more than three times this size – the largest rooftop solar plant in the Nordic region. In order to push the transition to renewable energy, Logicenters – the real estate investor NREP’s logistics branch – and its tenant Speed Group are using the rooftop of the 83,000 m2 logistics facility in Viared, outside Borås. It is estimated that the solar cells can produce 4 million kilowatt hours annually, which is equivalent to the annual electricity demand for 1,800 all-electric cars.
“The roofs of large logistics facilities are the ideal location for installing solar plants. Therefore, it feels important that, as developers and owners of logistics properties, we are at the forefront of solar electricity production on our rooftops. We have a number of ambitious sustainability goals, one of which is to operate all our properties using renewable energy. And the demand for solar electricity is high from both companies and individuals – something which we can now fulfill. This facility will meet the tenant’s electricity needs on an annual basis, contribute more renewable electricity to the grid for the inhabitants of Borås to use and can save the environment up to 2,000 tons of CO2 emissions per year”, says Matthias Kettelhoit, Head of Logicenters at NREP.
During 2020, electricity prices have been 40 percent higher in central Sweden than in northern Sweden. It shows very clearly that we have a lack of transmission capacity and too little electricity generation south of the Dalälven river. This means that solar electricity, when it is developed on both roofs and in solar parks, can make an important contribution to the demand for electricity during the summer months in central and southern Sweden.
“The large solar plant will help to meet the increased electricity demand for electricity in southern Sweden with locally produced renewable electricity. An important contribution to the transition to a completely renewable electricity system”, says Johan Öhnell, chairman of Solkompaniet, which will build the plant during the autumn.
The energy tax – an obstacle to widespread solar production
There is great potential to produce solar energy in Sweden. At the same time, current energy taxes penalise those installing large solar plants. Companies generating solar power on their properties are taxed on the electricity they generate when a solar plant exceeds the power limit of 255 kilowatts. The government has recently proposed raising the limit to 500 kilowatts, but the Borås plant is ten times that size. The companies behind the solar plant in Borås have the capacity to contribute electricity from renewable energy sources – but are calling on the government to rethink and remove the limit altogether.
“NREP has a total of 2.5 million square metres of real estate in the Nordic region and is continuing to make climate investments such as solar cell installations on a number of rooftops. But the government has a heavy responsibility in expanding the financial incentives for this type of venture. An energy tax on self-generated solar electricity, used partly by the company itself and partly contributing renewable electricity to the electricity grid, is not the right way to go. We have a number of ambitious sustainability goals, one of which is to operate all our properties using renewable energy, but there must be an increased cooperation between various players in the community“, says Stefan Wallander, CEO of NREP in Sweden.
“Our major customers demand an action plan from Speed Group, in order to contribute to the goal of a maximum increase in global warning of 1.5°C, in line with the Paris Agreement. The installation of the solar plant is our single greatest step towards meeting our customers’ high sustainability requirements,” says Mats Johnson, CEO of Speed Group.
Logicenters is experiencing a strong expansion phase and is in the process of strengthening its team significantly. To support the logistics property company’s continued growth and ambitious goals, Logicenters has acquired six new employees. These include a Sustainability Manager in order to further strengthen Logicenters’ work on sustainability.
Logicenters is today the leading developer and long-term owner of modern and sustainable logistics properties in the Nordic region. Over the past decade, Logicenters has been the most active developer of logistics properties with more than 25 completed projects and over 600,000 square metres of logistics space. Logicenters is now a Nordic team with offices in Sweden, Denmark, Norway and Finland.
The flourishing e-commerce sector over recent years is just one of the reasons why Logicenters has enjoyed a continued increase in its real estate holdings and strong organisational growth. In order to keep pace with this rate of growth, Logicenters is now reinforcing its team by adding a number of new positions. This includes two new Commercial Managers – Ruben Krantz in Norway and Fredrik Nygren in Sweden.
Logicenters, who are connected to RE100 through NREP, also has high sustainability goals and are working continuously to make its properties more energy efficient. For example, earlier this year, construction began on what will be the Nordic region’s largest rooftop solar cell plant, in terms of both area and capacity. With the aim to further strengthen NREPs work on sustainability, Logicenters has now recruited Karin Sjövall in the role of Sustainability Manager, with a main focus on logistics properties. Karin most recently worked at Nordic Property Management as a Project Sustainability Manager.
“It feels really great to team up with even more smart, driven and engaging people who understand what our customers value. I am absolutely positive that our new colleagues will contribute to our continued growth and help to ensure that our high business goals are achieved. Together, we will continue to develop and manage the Nordic region’s most modern and sustainable logistics properties. And we will take Logicenters to the next level”, says Matthias Kettelhoit, Head of Logicenters.
Logicenters has also recruited Andreas Luczak as a Transactions Associate, Erik Karlsson as a Business Analyst and Kalle Nurmos as an Asset Manager. In addition, the logistics property company is currently looking into further recruitments in order to support its rate of growth.
Logicenters is scaling up in Norway by strengthening its team with a key hire to support its future growth. The logistics property provider has recruited Ruben Krantz as Commercial Manager for Logicenters in Norway. Krantz has substantial experience in the logistics industry, most recently as Director of Business Development at Colliers.
Logicenters is expanding significantly in Norway. Through both land acquisitions and new developments in Vestby, just outside Oslo, the logistics property company has expanded its presence in Norway substantially in 2020. In order to support future growth and as part of its continued investment, the company has recruited a Commercial Manager for Logicenters in Norway, Ruben Krantz, who will be responsible for the continued business development in Norway.
“We are delighted with this appointment. Ruben has valuable experience of the industry, a wide network of connections and a good understanding of what our customers need. Logicenters is in a strong growth phase and Ruben will have an important part to play in the company’s future investment in Norway. I would like to warmly welcome Ruben to our team and I look forward to working together onwards,” says Matthias Kettelhoit, Head of Logicenters.
Ruben Krantz has substantial experience and understanding of logistics in Norway. His most recent position was as Director of Business Development at Colliers and prior to that as Business Developer at Malling & Co Markets. He will now become a key person in Logicenters’ team where he will be managing the logistics property provider’s future investments in Norway.
“Joining such a successful and ambitious brand such as Logicenters is something I am very proud of and humbled by. My goal is to support Logicenters growth to being the leading logistics property provider in Norway and I look forward to developing the business further in collaboration with my new team,” says Ruben Krantz.
Logicenters has now, for the second year in a row, won first prize in the Real Estate Brand Award competition, which was announced at the end of last week. The competition ranks more than 1 000 brands within the European real estate industry. In the category “Nordic Developers Logistics”, the award for the strongest brand among developers of logistics properties went to Logicenters in first place.
The Real Estate Brand Awards was arranged for the twelfth year in succession this year. The participating brands compete in various industry-specific categories, with one category consisting of Nordic region brands. Among the Nordic brands in the segment “Nordic Developers Logistics”, Logicenters is ranked as the strongest brand among developers of logistics properties.
The value of all of the factors that companies are ranked by is totalled to a weighted index, the Brand Value. Logicenters achieved a Brand Value score of as high as 90.03, with 100 being the highest value.
“We are very happy to once again have won this award, which is an acknowledgement that all our hard and careful work has been noticed in international circles. Modern logistics properties that are developed with a great sustainability focus by a tight-knit and competent team is our recipe for success, and every one of us at Logicenters should take credit for this achievement. We would also like to thank the European Real Estate Brand Institute for the prestigious award,” says Matthias Kettelhoit, Head of Logicenters.
The survey is largest of its type and is made up of a survey, in which more than 109 000 industry experts are asked about the more than 1 000 participating real estate brands.
For additional information regarding the award:
Logicenters is continuing to strengthen its presence at strategic logistics hubs in the Nordic region. The logistics property company will develop a 12,000 m2 logistics facility in Vestby, Norway. The first tenant, BH Nordic AS, has already signed a lease of 5,800 m2 of the property. The development will begin in March 2020 and the property is scheduled for completion by February 2021. 6,200 m2 will become available for additional tenants.
Logicenters is about to begin developing a property at Torvuttaket 22 in Vestby, just south of Oslo in Norway. The property will have a lettable area of 12,000 m2 and is scheduled for completion in February 2021. The building will be developed in line with Logicenters’ clear focus on sustainability. The property will also be BREEAM certified, which is an environmental certification that places strict requirements on the property’s sustainability performance. There will also be an option to install solar panels on the roof of the property, aiming to provide tenants with green electricity without increasing total cost for the tenants.
The first tenant to sign a lease at the new property is BH Nordic AS, better known as Barnas Hus, a specialist within children and baby products. BH Nordic AS and Logicenters have signed a lease for approximately 5,800 m2 of the property. The remaining 6,200 m2 will be available for additional tenants, as the property is prepared as a multi tenant property.
“We are delighted to offer BH Nordic a new warehouse in Vestby. It is a company that, in our experience, has a serious environmental focus and priorities high quality working environment for its employees, which is reflected in the layout of the new premises and has contributed to develop good solutions. The remaining 6,200 sqm will represent flexible lease structures for tenants with respect to size and contract terms. Vestby is a geographically strategic logistics hub in close proximity to Oslo and we are happy to be able to further strengthen our presence in the area,” says Jørgen Bråten Nordby, Commercial Manager, Logicenters Norway.
“We at BH Nordic and Barnas Hus are very pleased with our new and efficient premises in Vestby. Barnas Hus is Norway’s leading specialist shop for equipment and clothing for babies and children and we will use this logistics centre to further develop our rapidly growing online store and to serve our 25 physical stores with excellent products. BH Nordic and Barnas Hus engage in sustainability, we are Eco-Lighthouse certified, and the new BREEAM certified building represents one of our initiatives within this field. We are looking forward to relocating to Vestby and the entire organization is also looking forward to using efficient and environmentally friendly premises. This property will be perfect for us,” says William Skaar, Finance and IT Director at BH Nordic AS.
After a long period of collaboration, both Menigo Foodservice AB in Strängnäs and Dustin AB i Rosersberg have reconfirmed their trust in Logicenters as a landlord. New leases have been signed for periods of seven and ten years, respectively. During 2020, Logicenters will further develop the properties to meet the tenants’ needs.
After several years of cooperation, Menigo Foodservice AB and Dustin AB have chosen to renew their leases with Logicenters. Menigo has signed a seven-year lease with Logicenters and will remain as a tenant in the Bussen 5 property in Strängnäs – a modern logistics facility. The property is located between Södertälje and Eskilstuna, which is an excellent logistics location in close proximity to Stockholm and the Mälaren region. The modern building has an area of 27,500 m² and has been adapted to handle refrigerated, frozen and dry goods.
Dustin continues to lease the property at Metallvägen 36 in Rosersberg, which is also located in one of the best logistics locations in Sweden alongside the E4 motorway and close to Stockholm, the Mälaren region and Arlanda Airport. Dustin has signed a ten-year lease with Logicenters and it will also invest in automation during the coming lease period. The logistics facility which Dustin will continue to lease meets all the criteria for a modern logistics operation. The leased area amounts to 22,500 m².
“It is very pleasing that our tenants are so happy with us that they are choosing to enter into long-term contracts. The fact that Menigo and Dustin are extending their contracts for seven and ten years respectively is confirmation to us that our properties are attractive and can support their growth journeys. At Logicenters, it is always our aim to offer high quality and flexible properties in locations which are strategically suitable for logistics and we look forward to continued good cooperation with our tenants,” says Jonas Kennerhed, Asset Manager at Logicenters.
The Menigo contract expires on 1 January 2021 and adaptations and improvements to the property will be carried out during 2020. The adaptations to the Rosersberg property will begin immediately and will be completed in 2020.
Nordic region’s largest roof-top solar cell plant, both in terms of area and capacity Logicenters will now build on the logistics property leased by Speed Group in Viared, outside Borås. The new solar plant will encompass 60,000 m² and have a capacity of 5 MWp. The solar cells are estimated to be capable of producing 4 GWh of electricity a year, corresponding to the electricity consumption for 800 homes.
In 2018, Logicenters began work on expanding the already 38,000 m² property to a total of 83,000 m² on behalf of Speed Group, a logistics operator owned by Ratos. The logistics facility is one of the largest in the Nordic region and is strategically located along the Swedish national road 40, just six kilometres from Göteborg. Logicenters will now further develop the environmentally-rated facility by installing a solar cell plant on the roof of the property.
“We are very proud to be working with Speed Group to take a major step forward in the transition to green energy. Building for a sustainable future is at the heart of our sustainability work and this project will enable us to prove that our buildings can actually be part of the solution, rather than part of the problem. And despite the fact that the tax on solar energy currently penalises large solar plants, we cannot postpone major and important climate investments in the future,” says Matthias Kettelhoit, Head of Logicenters.
The roof-top solar cell plant will have an electrical capacity of 5 MWp and a full area of 60,000 m². This will be the Nordic region’s largest roof-top solar cell plant, both in terms of area and capacity. The plant is scheduled for completion in 2020 and is expected to produce 4 GWh of electricity per year, which could supply around 800 standard homes with electricity for a full year.
“Ratos is convinced that there is a strong link between sustainability and long-term value creation. And we are now putting our money where our mouth is by working on the construction of a solar plant of this size. As recently stated, we do still maintain that taxing self-generated electricity which is used in-house is not the right way to go, but we cannot let this stop us from making the right choice in the long term,” says Christian Johansson Gebauer, Area Manager for Construction & Services at Ratos.
It is calculated that the new solar plant will produce 33 percent more electricity than is currently consumed by the property. Speed Group will use some of the electricity in its daily operations, but the surplus will be available to other users through the electricity grid.
“We are very pleased to have a solar cell plant of this calibre installed on the roof. This is the right way to go, both from a climate perspective and a market perspective, as we are finding that more and more customers want to work in properties powered by green electricity. The fact that a considerable amount of daily operations will be powered by self-generated green electricity from solar cells on our own roof is gratifying both for Speed Group, our customers and not least for the environment,” says Mats Johnson, CEO of Speed Group.