B4 teleportation… : supply chain and logistics

Logistics real estate advisors expect rents to increase in 2007 in France. Rents are considerably low compared with those in UK or northern Europe, and they are even lower in the western part of France. In Western France, they range from 40 to 49€/sq.m./year… not bad !in short, this is the outlook for 2007 from Savills (one of the leading international property advisors I know) : “In the logistics market, the increasing number of requirements and stricter planning regime, may lead to an improvement of the industrial warehouse stock quality. Therefore we expect rents to start increasing next year, especially in some of the regions such as Lyon, Marseille or the IDF where the land supply decreased significantly during the last 10 months. The western part of France may become a new attractive logistic area in the next few years, due to the improvement of the motorway network and more specifically the A28 motorway. The liberalisation of rail freight, which came into force on the 31 of March 2006 together with the “Rail Net Europe” project could lead to new logistic developments, if cost and time transports can meet the logistic operators requirements.”