After Bucharest, Element Industrial bets on regional expansion

For the next 12 months, local developer Element Industrial plans to reach its target of another 100,000 sqm built area. "We are currently building 20,000 sqm and are in the very late stage of permitting so that in the next 2-3 months we will start another 60,000 sqm," Andrei Jerca, Managing Director of Element Industrial announced during CEDER 2021.

The developer's main target is to reach 250,000 sqm by the end of 2023 and gain a market share of 15-20%. "It's ambitious for a local player, especially for a young one established in 2019, but we believe in the market and we think we can gain 15-20% market share with our future developments," Jerca said.

Eli Park 3, the newest hub in Buftea/Chitila (north of Bucharest) that the company is currently developing, can reach 200,000-250,000 sqm in the next 3-4 years, according to Element Industrial's manager.
Other plans involve future expansions at country level.
"In Braila we are in the permitting process of the first 10,000 sqm. Then we are working for the final stage of permitting in Bacau, where we will start together with our partner Dedeman 24,000 sq m in the second part of this year. We are also looking at Iasi and the central part of Romania and trying to decide which city will best fit the supplying chain demands, between Cluj, Deva or Sibiu.

The developer is currently working on 11 projects, of which eight already have land secured. "This means we are in an advanced stage and we can cover very fast all the demands coming from either logistic providers or from industrial manufacturers," Jerca pointed out.

The company is also following the last mile logistics trend, and this year is planning to start construction of "a 10,000 sqm project with flexible units of 1,000 sqm, 8,2 meters height, one dock, one drive-in and flexible office area."