Rejuvenation of Lodz Logistics Hubs

13th March 2023

Logistics BusinessRejuvenation of Lodz Logistics Hubs

Excellent communications, together with the availability of attractive investment areas, make Lodz a key strategic location for logistics operators, production companies, retail chains and e-commerce companies interested in regional, national and international distribution.

Central Poland is the key regional market for warehouse and production space. For the last 10 years most of the warehouse/production was developed north of Lodz, which has led to labour shortages and congested transport links. Interestingly the new upgraded A1/S8 junction south of Lodz has led to a shift in how products now flow across Poland. Many logistic companies are informing customers it is easier to distribute nationally from Lodz South rather than Lodz North. This will be further improved with the completion of the Eastern Lodz ring road in 2023.

MDC2 chose Głuchów, located 19 km south from the Łódź border because of its excellent investment conditions. The location provides the tenants with the possibility of efficient distribution throughout the country and Europe. The properties are being developed in cooperation with Fortress Real Estate Investments Limited (Fortress), a company listed on the Johannesburg Stock Exchange (JSE) operating in the REIT model, which owns, manages, and develops commercial property space.

MDC2 Park Łódź South is a distribution and logistics project with a total area of over 80,000 m 2. The facility is located at the junction of the A1 motorway and the national road No. 12 (which connects wholesale centers in Tuszyn and Głuchów). The planned delivery of the buildings will take place in the first half of 2024. From the very beginning of the construction process, the developer provides market-leading environmentally friendly solutions. The facility will be certified in the BREEAM New Construction Excellent as a minimum Both the A1 and A2 motorways and the S8 expressway run through Lodz with further improvements to the south with the planned S14 road, which will improve connections to the A2 motorway (junction Emilia) & S8 expressway (Róża interchange).

By implementing sustainable solutions, MDC 2 minimizes the carbon footprint which is a particularly important issue in the company’s operating strategy. Key building parameters include: 12 meter clear height, LED lighting, PV ready roofs, electric vehicle chargers, rainwater recycling, cycle sheds and parking. MDC2 also takes care of the biodiversity of the area, creating a local environmental ecosystem, including green walls which will be installed on the buildings’ facades, with local vegetation planting, emphasizing the ecological nature of the facility.

There will also be a Rest&Move zone – intended for employees and visitors including truck drivers, whose well-being is also of great importance to MDC 2. The project will create new workplaces for qualified staff living in the close area. In the Łódź East county, 43,373 potential employees are available within a 15-minute drive, while a radius of 60 minutes by car provides access to 895,759 potential employees.

The Łódź Special Economic Zone is the fourth special economic zone in the category “Top 10 Zones Globally” and the only one from Poland in this ranking (fDi Magazine ranking, Financial Times group). Łódź has the third largest population in the country (inhabitants 664,071) providing access to qualified staff. The wider population of the wider Łódź Voivodeship is 2.4 million people.

– Central Poland has always been the center for warehouse/production development, but increasingly occupiers want to be South of Lodz due to the improved road infrastructure and better availability of work force.
– MDC² Park Łódź South is under development, financed by Fortress Real Estate Investments Limited (Fortress)

– MDC² is leading the change in green warehouse development in Poland by building some of the most sustainable warehouses available in the market. All their buildings are certified BREEAM New Construction Excellent (at a minimum) and aim to build carbon neutral buildings from 2025.