In April 2022, Prologis acquired a property of approximately 25,000 square meters in Germany's strongest producing region north of Stuttgart. The undeveloped site is in a logistics and industrial area in the north of Illingen in the southwestern Rhine-Neckar region.
Prologis has received a building permit, and when a tenant is found for the new facility the real estate project of almost 13,100 square meters will begin. The company aims to achieve gold certification from the German Sustainable Building Council (DGNB) for the building. In September 2022, Prologis informed citizens about the planned project at an information event in the Stromberghalle in Illingen.
Growth strategy in Germany
Additionally, Prologis recently acquired an adjacent building and plans to demolish it and build a new sustainable facility. The new building will consist of two units with a total area of approximately 10,500 square meters. This brownfield development is in line with Prologis' sustainability strategy to revitalize old industrial sites and create jobs in the region without disturbing undeveloped land.
“The scarcity of land for logistics developments has become an increasing challenge in recent years,” says Hans Seckler, director, capital deployment at Prologis. “Especially in prime locations like this, customer demand for logistics space is high. These acquisitions, therefore, fit well into our strategy of strategic growth in Germany. The new facilities in Illingen will provide our customers with state-of-the-art logistics space in desirable locations.”
Ideal location
The Rhine-Neckar region is a promising area for Prologis. Illingen, located in the Stuttgart metropolitan area, is attractive for companies in the logistics, production, retail and e-commerce sectors. Very close to Prologis' property, the federal highways 10 and 35 intersect and are the most important east-west connections to Stuttgart and Pforzheim. The property is 14 kilometers from the A8 motorway and 20 kilometers from the A81 motorway.
BNP Paribas Real Estate was exclusively commissioned with the marketing of the property for the seller and also assumes the sole leasing mandate of the facility for Prologis.
