Venlo, a small Dutch town on the river Mass near the German border, is Europe’s most desirable logistics location by a sizeable margin, according to a new report.
Global industrial real estate company Prologis, in partnership with Eyefortransport, asked warehouse users from the retail, automotive, pharmaceutical and other sectors to rank 100 locations across Europe according to various criteria ranging from proximity to economic and strategic access, proximity to customers, labor availability and flexibility.
Venlo was in a class of its own, with a total score almost 1.5 times greater than runner-up Antwerp-Brussels, which was just ahead of Rotterdam and the Rhine-Ruhr, excluding Düsseldorf.
The Dutch town, which has a population of about 100,000, won three of four categories: infrastructure, labor, and government and real estate. It was voted the best location for many specific criteria, including proximity to economic networks, strategic transportation access, transportation costs, flexibility of work force and best location for regulatory issues.
Antwerp-Brussels was ranked second or third in each category, while Rotterdam owed its third place mainly due to its score as the best location for modality availability, offsetting weaker results for the proximity to customers and suppliers.
With the exception of two markets, Madrid and pan-regional Romania, the top 10 most desirable locations are in continental northwestern Europe.
|Europe's Top 10 Logistics Locations|
The report analyzed current rankings and what locations would thrive in five years. The results show that locations in Central and Eastern Europe will gear up and become more attractive in the logistics landscape, but Venlo, which pushed Antwerp-Brussels and Rotterdam into second and third position in the latest report, will retain its top spot in 2018.
Logistics facility users continue to consolidate their operations into larger, more efficient Class A distribution centers and plan to operate in larger networks, according to the report.
Almost two-thirds of all respondents expect to operate a pan-European distribution network by 2018.
Europe has a bigger population and a greater combined Gross Domestic Product than the U.S., yet is has 4.5 times less Class-A logistics space, Prologis noted.
“In this context, the reconfiguration of the European supply chain and the rise of e-commerce means there is significant development potential for modern, efficient distribution facilities across the region.”
Contact Bruce Barnard at firstname.lastname@example.org.