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31.03.2017

A Plus Development will construct a distribution center for the largest retailer of the Urals

A Plus Development and federal retail network Monetka, the largest retailer of Yekaterinburg, have concluded an EPC contract for design and construction of a distribution center in Yekaterinburg.

Under the terms of the contract, a distribution center with an area of 34,000 square meters will be commissioned in the second quarter of 2018 and will serve about 400 stores of the network.

The broker of the transaction was Knight Frank.

Vyacheslav Zelepuga, the Commercial Director of A Plus Development, made the following comments on the transaction:

“Monetka is the retail leader in the Urals region. Working with the largest retailers throughout the territory of Russia, we have proven ourselves to be an expert in creation of multi-temperature distribution centers. Our further plans envisage joint development of the commercial real estate of Monetka network in the regions of its presence.”

Yuriy Shurov, the Development Director of Monetka network, in his turn, gave the following comment:

“Commissioning of the new phase of the distribution center will provide the company with new opportunities for development in the Urals and Siberian region and will significantly raise the level of service for both the network stores and the partners. The near-term plans of the company provide for further development of its distribution centers. Construction of A Class in Khanty-Mansi Autonomous Okrug will be next. This will allow significant reduction in the shipment distance and expansion of the network presence in Khanty-Mansi Autonomous Okrug and Yamalo-Nenets Autonomous Okrug.”

Anton Repin, director for representation of the interests of the owners of the department of industrial real estate and warehousing property, land, from Knight Frank, stated the following:

"Due to a high degree of centralization of logistics in Russia, offering of high-quality warehouse spaces in the regions is extremely limited (about 15 % of the total amount of offers). Therefore, the main consumers of such spaces – the retail networks – have to invest in construction of their own distribution centers, withdrawing cash from the main business. We hope that professional developers will turn their attention to this fact and that the share of regions in the volume of the annual construction of warehouse spaces will increase.”

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