Warehouse boom in Tatarstan: number of deals tops 400k square metres

Analysts of NF Group consultancy summed up the development of warehouses in the Republic of Tatarstan. The number of deals with quality warehouses in the region in 2023 reached a record 401.000 square metres, which is the largest number among Russian regions (except for the Moscow region and Saint Petersburg with Leningrad Oblast).

There weren’t vacant warehouses for rent in Tatarstan by the end of the year. Only one facility built for Ozon opened for rent in Tatarstan in 2023.

The average rent rate rose by 51% over the year and made up 7.700 rubles per square metres (triple net). The rent rate diapason for Class A facilities and build-to-suit projects is 8.500-9.000 rubles per square metre, which is 60% higher on average than in late 2022.

Konstantin Fomichenko, a partner and regional director of NF Group’s Industrial and Warehouse Real Estate Department, noted that the lowest amount of vacant offers of quality warehouses in the Tatarstan, which has been seen in the last three years, has appeared due to a growing number of deals and a limited amount of speculative facilities built in the region. He also emphasised that as a big logistic hub with over a million square metres of warehouses Kazan remains a good location for new speculative projects.