Warehouse facilities attract attention of brokers

Swiss Realty Group has introduced its own classification of warehouse facilities, RBC-Daily informs. According to the group’s managers, new system will help to structure warehouse market and make it clear how much space it contains and of what quality it is. Yet, according to RBC-Daily analysts, classification is more likely to be aimed at gaining leading position on the Russian warehouse market. In the current situation of high demand and low supply it will enable the group to quote high leasing rates for storage facilities they work with.

Classification, offered by Swiss Realty Group, subdivides all the warehouse facilities into 7 classes. Class A1 is constituted by the modern specialized storage facilities located near the main transport routs not farther than 10-40 km from Moscow. They are equipped to receive and process all kinds of goods. Class A2 includes fully reconstructed buildings, constructed 20-30 years ago. They can be situated within the city or in industrial areas. Warehouses, located in the city, are valued lower due to difficulties with transportation. For example, in Moscow heavy trucks are forbidden to enter the city centre.

Class B1 is made up of warehouse facilities built before perestroyka period in accordance with soviet logistics schemes and requires minor investments. Class B2 resembles B1 but does not meet equipment requirements of A1 (for example, they may lack special gates). According to Swiss Realty Group such facilities are rather common on the Russian warehouse market due to chaotic character of investment activities here.

Class C1 includes big production areas, motor depots, taxi stations, while Class C2 unites old soviet storage facilities such as vegetable and product warehouses. C1 and C2 Class warehouses require extensive investments for their modernization.

Class D includes garages, cellars, bomb shelters, unheated hangars and agricultural buildings that are to be demolished rather than modernized. Thus they can be considered land lots that can be used for construction of new warehouses.

Swiss Realty Group has introduced its own classification of warehouse facilities, RBC-Daily informs. According to the group’s managers, new system will help to structure warehouse market and make it clear how much space it contains and of what quality it is. Yet, according to RBC-Daily analysts, classification is more likely to be aimed at gaining leading position on the Russian warehouse market. In the current situation of high demand and low supply it will enable the group to quote high leasing rates for storage facilities they work with.

Classification, offered by Swiss Realty Group, subdivides all the warehouse facilities into 7 classes. Class A1 is constituted by the modern specialized storage facilities located near the main transport routs not farther than 10-40 km from Moscow. They are equipped to receive and process all kinds of goods. Class A2 includes fully reconstructed buildings, constructed 20-30 years ago. They can be situated within the city or in industrial areas. Warehouses, located in the city, are valued lower due to difficulties with transportation. For example, in Moscow heavy trucks are forbidden to enter the city centre.

Class B1 is made up of warehouse facilities built before perestroyka period in accordance with soviet logistics schemes and requires minor investments. Class B2 resembles B1 but does not meet equipment requirements of A1 (for example, they may lack special gates). According to Swiss Realty Group such facilities are rather common on the Russian warehouse market due to chaotic character of investment activities here.

Class C1 includes big production areas, motor depots, taxi stations, while Class C2 unites old soviet storage facilities such as vegetable and product warehouses. C1 and C2 Class warehouses require extensive investments for their modernization.

Class D includes garages, cellars, bomb shelters, unheated hangars and agricultural buildings that are to be demolished rather than modernized. Thus they can be considered land lots that can be used for construction of new warehouses.