European industrial real estate market leader Panattoni has reached the half-way stage in its development of the LPP Fulfilment centre in Rzeszów. Construction work on the 70,000 sqm building began in January this year and the project’s is already scheduled for completion by the end of the year. The centre will be able to service 100,000 orders a day and will provide support for internet sales in Germany, the Czech Republic, Hungary and Slovakia. Among other things, Panattoni is preparing 5,000 sqm for an automated line of carriers. By the end of the year, the developer will have delivered over 170,000 sqm to LPP.
All according to plan. Just as was originally planned, the first stage of the Fulfillment Center development is being completed after five months of work by Panattoni for LPP, which is the largest clothing company in the CEE region. The company is to take up 69,000 sqm in Panattoni Park Rzeszów North. The half-way stage was celebrated by a topping out ceremony attended by Michał Samborski, the Head of Development at Panattoni, Jacek Kujawa, the Vice-President of LPP and Lesław Kuźniar, the Wójt of the Trzebownisko administrative region. During the event, it was made clear how important this development is for both the local area and the wider region so the local authority officials and the senior management of LPP signed a letter of intent to work together on local community projects in the area. At the end of June Panattoni is to complete work on the roofing surface as well as on the building’s façade and it is also to start work on the inside of the building. The developer plans to complete the finishing work and the development of the surrounding area by the end of August, when LPP will receive its first technology deliveries and the warehousing systems are to be installed in the centre. Finally, the centre is due to start operations in Q4 this year.
“The space being built as part of Panattoni Park Rzeszów North is yet another development of ours for LPP’s e-commerce operations – in this year alone, we have delivered 133,000 sqm to the company and taken together, all this space will come to over 170,000 sqm. The development of online retail is resulting in an increase in warehousing facilities and just as our development demonstrates – we are ready for this and can offer our clients space tailored to their needs in the best locations, ideal for international operations. We ensure that our space is located close to their markets and that they have access to good roads and labour. Our development in the Podkarpackie region meets all of these criteria and it grows before our eyes driving the development of the market in Rzeszów,” stated Michał Samborski, the Head of Development at Panattoni.
“For us at LPP, the warehouse being built in Jasionka is a key project to improve our distribution. That’s why I am glad that barely a few months after breaking the ground with the first shovel, we can, together with our partners in the presence of the local regional authorities, symbolically close this first stage of the construction. The topping out ceremony held today is a confirmation that the project is on schedule and in just a few months, thanks to the determination of all the companies involved in the development of this project, the new centre will become a part of LPP’s international logistics infrastructure,“ commented Jacek Kujawa, the vice-president of LPP.
LPP will handle 100,000 orders a day from Panattoni Park Rzeszów and the building will store over 7 mln articles from its range. The scale of the development will enable it to support internet sales in Germany, the Czech Republic, Hungary and Slovakia. Opening yet another big box building will enable faster service for a customer base that is continuously growing as well as improve other aspects of its customer service. As part of the new development, LPP is to use bespoke information systems to support its omnichannel sales and enable its innovative operations to consolidate the goods in its bricks-and-mortar stores with those in its warehouse. The tenant will use an automated line of carriers in the packing area of almost 5,000 sqm. This is to be integrated with its sorting machine, which will allow a few thousand packages an hour to be divided up effectively between different regions
A key factor in the choice of Panattoni Park Rzeszów North for LPP’s new Fulfillment Center was its attractive location. The centre is being built between two junctions on the A4 motorway, which runs through Wrocław, Kraków, and Katowice and connects Poland’s southeastern and northwestern borders. Additionally, the development lies nearby National Road nr 19, which heads off towards Slovakia. The centre is also just 1 km from Rzeszów airport in Jasionka.
Panattoni Park Rzeszów North will eventually comprise two class A buildings with a combined area of 83,500 sqm. The complex is suitable for warehousing and logistics operations as well as for light production. The development work is to comply with the Go Earthwise with Panattoni sustainable development policy. So the developer is to install daylight sensors to control the external lighting, a smart energy management system and water saving taps. The company has also designed green areas with flower meadows that do not require constant mowing, while on the grounds of the centre, shelters will also be found for small animals. Workers may use the electric vehicle charging stations as well as the bicycle shelters with electric power sockets and bicycle repair facilities.