IBC Global, a consulting company, has identified a significant increase in the cost of warehouse real estate in Central Asian countries, including Uzbekistan, due to a limited supply in the market. The press release is available on Kursiv Uzbekistan.
In Tashkent and Almaty, the average rate exceeds $150 per square meter per year, which is approximately 15% higher than in Dubai or Manchester, as mentioned by Stanislav Akhmedzyanov, the company’s managing partner. The cost of warehouses in Uzbekistan and Kazakhstan is approximately 60% higher than the rates in the Moscow region of Russia, he added.
The annual cost of one square meter of warehouse real estate in Kyrgyzstan is $114, similar to prices in Munich and Bristol, surpassing market rates in the largest port cities in Europe.
IBC Global highlights that the limited supply of warehouse real estate in Central Asian countries discourages some tenants but creates favorable conditions for investors. It also asserts that constructing such complexes in Uzbekistan, Kazakhstan and Kyrgyzstan will result in a quicker return on investment than compared to Europe.
Akhmedzyanov further explains that the shortage has led to two trends: the prevalence of unbreakable contracts for up to ten years and the adoption of the Built-to-Suit format, where a warehouse is constructed to meet a customer’s specific needs.
Kursiv Uzbekistan reports that the shortage of warehouses in Central Asian countries is estimated at 20 million square meters.
