Company News

Construction Trading House «Petrovich» Opens Uniform Distribution Centre

Construction Trading House (CTH) ‘Petrovich’ will open the Uniform Distribution Centre (UDC). For this purpose the company has rented 9’000 sq.m in warehouse complex of class A ‘MLP Utkina Zavod’. ASTERA, an alliance member of BNP Paribas Real Estate has served as a broker in this transaction.
CTH ‘Petrovich’ will be delivering goods to construction sites of Saint Petersburg and North-Western region from the Uniform Distribution Centre, which is to be opened at the end of October 2011. The centre area comprises 5’000 sq.m of indoor warehouse space of class A and 4’000 sq.m. of open space at the adjacent area. Possibility to rent open space, as well as availability of well-developed infrastructure, including railway ramp, was one of the requirements for the site to be leased. Company’s investments in opening of the UDC will make up to 3 mln Euro (around 1 mln Euro for equipment and 2 mln Euro for goods reserve).

‘MLP Utkina Zavod’ is a warehouse complex of class A, being a part of a unified chain MLP – one of the largest projects on the warehouse real estate market of the North-Western region. Terminal ‘MLP Utkina Zavod’ is located on the inner side of the Ring Road, between the Bolshoy Obukhovsky bridge and Murmanskoe highway on the territory of Leningrad region. The terminal is arranged on a 200 m distance from the city border, in the immediate vicinity of Murmanskoe highway. The area of the project is 209’255 sq.m of class A warehouse space, as well as office space and mezzanines.

“Chain of CTH ‘Petrovich’ comprises 13 construction retail sites in Saint Petersburg, Veliky Novgorod, Vyborg, Volosovo, Kingisepp and Luga and two stores under brand name ‘Uroven’ in Saint Petersburg and Leningrad region,” – Viktor Adamov, the Executive Director of CTH ‘Petrovich’, says. However, in two years the company chain is expected to grow by minimum five more shops – CTH ‘Petrovich’ has announced its plans to enter the markets of Karelia, Pskov and Vologda regions.
“Our own distribution centre will allow us to arrange the logistic flows in the most efficient way, which is of great importance under conditions of active growth of our chain. In particular, the demand structure in regions is slightly different from that in Saint Petersburg, some goods are demanded in small amounts there, and other goods are, vice a versa, in greater demand. Therewith not so many suppliers are ready to deliver small shipments to regional sites. Besides, the UDC will allow us to expand our partnership with construction materials manufacturers, by means of purchasing from them large batches of goods without any intermediate parties involved,” – Viktor Adamov, the Executive Director of CTH ‘Petrovich’, notes.

According to Vera Boikova, the Head of Tenant’s Division at ASTERA, an alliance member of BNP Paribas Real Estate, large retail chains as well as production and construction companies form the major demand for large warehouse units with the area of 5’000-10’000 sq.m. “Active development of retail in Saint Petersburg, accompanied by new production players entering the market of North-Western region, and high indicators of cargo turnover, allow us to forecast further increase in demand for warehouse space. By the end of 2011 the vacancy rate in quality warehouse projects will make not more than 5%,” – the expert assumes.