LPP has leased 64,000 sqm at Panattoni Park Tricity South II for e-commerce operations
Panattoni will once again provide e-commerce space for the Gdańsk-based LPP group, the largest clothing manufacturer in Central and Eastern Europe. The company, which owns the Sinsay, Cropp, Reserved, House and Mohito brands, is to occupy approx. 64,000 sqm in two Panattoni Park Tricity South II buildings, where it will commence operations as early as April 2022. The investment will be designed for online orders as well as service returns. Its location close to ports and key road junctions will enable several European markets to be reached.
E-commerce requires a trusted partner. Panattoni is once again providing e-commerce space for the LPP group, by preparing almost 64,000 sqm at Panattoni Park Tricity South II for the company. The need for the new warehousing space follows naturally from the high levels of internet sales of the owner of the Sinsay, Cropp, Reserved, House and Mohito brands, which in the second quarter of the 2021/22 fiscal year increased by almost 30% y / y and now accounts for 22% of the group’s revenues. At Panattoni Park Tricity South II order picking and returns are to be processed. The company will use two facilities in the park, which Panattoni will connect via a special link. The developer will also prepare station wagons to serve both small vans and trucks. In addition, it will ensure increased daylight penetration for the picking area. Prior to this, in 2018, LPP leased 30,000 sqm at Panattoni Park Gdańsk III.
“The growing interest of our clients in e-commerce purchases and the continuing digitisation of trade has led LPP to focus strongly on the development of warehouse space designed for online sales. Our decision to opt for space at Panattoni Tricity South II was not accidental. Our cooperation with this developer so far and its extremely flexible approach to our needs were the main factors that prompted us to sign another contract. This is our largest leasing contract for warehouse space designed for e-commerce services. It will increase our current fulfilment centre warehouse potential by more than 30%,” explains Sebastian Sołtys, the Logistics Director of LPP.
Online sales – an opportunity for Polish business. The location at Panattoni Park Tricity South II will give LPP access to several foreign markets. The distribution centre is located near the A1 motorway as well as key national roads (S6 and S7), which provides convenient access to both the western, southern and eastern borders. In addition to this, it has easy access to the railway network, connecting it with Gdańsk, Warsaw, Bratislava and Vienna. Another obvious advantage of this location is its proximity to the Port of Gdańsk, which will be used indirectly by the tenants. This handles goods coming in from all over the world – including China, the USA, Singapore and a dozen or so European countries. “The sales of the LPP group on foreign markets already account for over 60% of our total, so it was a natural decision for us to expand our infrastructure to enable us to efficiently handle these directions. In recent years, Poland has become a highly competitive market in terms of international e-commerce services. This has been noticed by foreign companies; but Polish companies, such as LPP, have also been benefiting from it, and from a facility leased almost at home – in Gdańsk – it can reach several European markets,” explains Martyna Sochaczewska, Senior Leasing Manager from Panattoni. “I am pleased that a domestic company that has achieved international success has put its trust in us once again,” she adds.
Panattoni Park Tricity South II is a logistics park comprising two A-class warehouse halls with a total area of approx. 75,600 sqm, of which 26,000 sqm has so far been completed. The complex offers leasable space adapted for both storage and production processes. It has been fitted with an intelligent building management system (BMS), which features such options as the automatic control of the electricity, LED lighting and ventilation in the facilities. In addition, the developer has introduced systems for reducing the water consumption and for reading licence plates.