Logistics demand seen staying strong in Athens, spilling onto new areas

Demand for new logistics investments in Greece seen staying strong in 2022 - Danos

Demand for prime logistics is areas such as Aspropyrgos and Magoula, west of Athens, is expected to increase even further in the coming year, spilling over onto other secondary locations, according to Danos property consultant and valuers.

In a report, Danos said that demand is now reaching others areas such as Oinofuta and Markopoulo as the lack of a specialised logistics market was clearly depicted during the boom of e-commerce in the lockdown period and is still an issue.

“The lack of supply for modern Grade A logistics is triggering the investors’ interest, who are looking to invest in spaces suitable for logistics developments,” said Danos.

“As far as demand is concerned, there has been significant activity on the market with new lease agreements, with surface sizes for rent ranging between 500- 2.000 sqm in relatively urban areas and demand for larger surfaces up to 20.000 sqm in the regions, where 3PL companies are looking to develop new projects (with additional uses with office space). There have been new developments and significant deals finalized in the logistics sector,” it added.

Major infrastructure works and investments being completed by China’s Cosco for the port of Piraeus are upgrading the role of Athens as a transit center in Europe, sector officials say.

“The new challenges in the sector are mainly energy related since the energy crisis could affect transport services,” it added.