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Architecture nowadays: Saving without compromising Design.

posted Oct 4, 2010, 3:30 AM by Joan Miquel Joaquim   [ updated Jun 20, 2011, 2:10 PM by X Juez ]


At LPW we think that companies must differentiate themselves from competitors. As it has always been, companies mainly should do it with their products, offering competitive prices and high quality. We see that in a time like the present, Architecture can also help to improve yields, differentiate companies’ image and to improve their hallmark.


The headquarters, shops or warehouses of a company, are becoming more representative places where customers perceive an idea of the quality of products they buy, the company's professionalism and modernity of it.


We don’t have to forget the current real estate crisis, so it is necessary to avoid unnecessary expenses and we must choose energy and constructive saving as drivers for a correct design concept. This will maybe increase the initial investment but it will be recovered in a short to medium term. We should opt for constructing the most prefabricated and modular buildings as possible. We should make subdivided buildings that can respond to future changing needs. Flexibility is one of the most important qualities required for a building due to the ephemeral nature of business and companies.


For these reasons we must focus on the use of the latest technologies in a matter of energy saving, environmental quality (natural lighting, proper ventilation and temperature, ..) or minimalism in interior decorating. Obviously we should not forget the functionality required to any building, which will be the first requirement to be solved as it is the most important fact for developing a business.


We can therefore say that we must focus on ECODESIGN since the beginning of the project.  


The architecture we must develop nowadays has to respond to the drivers of the new economic paradigm: Information, Health and Energy. But how?

 


Information: Information and change, update, flexibility, adaptation, modernization. Intelligent building designs for intelligent people, a customized and modular design, a design capable of taking on new challenges.


Health: We must create high quality architecture with healthy and attractive spaces that will provide motivation for employees. The spaces will provide as well physical and mental health, which will be the key to achieve a good working result. The buildings are not only occupied, but they are inhabited.


Energy: Having the latest active and passive solutions for energy saving will help to save money and to transmit an image of a high quality and innovative brand. We should design non energy consuming buildings, but power generator buildings.

 


Architects must now be conscious that the golden age of real estate has been left behind and we must adapt the new needs to our designs in order to still develop an outstanding architecture and to be ready for the new and more exigent current economic situation.  


Xabier Juez

LPW Architect

Can we see definite signs that we are ahead of the expected recovery in European industrial and logistics market?

posted Oct 1, 2010, 3:17 AM by Joan Miquel Joaquim   [ updated Jun 20, 2011, 2:10 PM by X Juez ]


Personally, I think so. For the latest data from international reports of the first two quarters of 2010, as well as feelings and conversations with our customers, I think we can begin to observe signs of recovery in the European industrial and logistics markets that so many of us have been waiting.

The events during this 2010 in the sixteen eurozone countries are not helping the recovery of our major real estate markets. But signs of recovery in major economies, with projected positive growth rates for 2011, coupled with the austerity policies implemented by governments in the eurozone, it seems that is helping to develop some signs of confidence to investors and tenants that allow the author of this article to be optimistic for a future that may not be as far away as some try to foresee.



It is true that not all European property markets are performing well and each has its merits, it is also impossible to analyze with a global vision and unique as the U.S. .But you can intuit certain trends, such as the evolution of income, where stability has prevailed in most of them. Should also note some fluctuations outside the media, as is the case in Dublin which recorded a fall in prime rents over 10% last quarter.

If we look at specific cases such as the UK, we can see that the adjustment of fiscal policies by the government, job creation, a gradual increase in consumption, the recovery in house prices, rising exports and an expected GDP growth of 1.1% in 2010 and 2.1% for 2011, let us see the beginning of the British economic recovery. And can not be otherwise, this positively affects the future prospects of both financial and real estate markets of the third European economy.

In regard to British industrial and logistics market, demand is experienced stronger growth than in other European countries, reflecting this in a stable income over all local markets. The increased space available and the decrease in the level of income that occurred in the past two years has enabled the relocation of many operators and producers to more prime areas of major cities, taking advantage of the opportunity to reorganize their production processes and optimizing the entire supply chain.

For the first time in five years the availability of logistics and industrial buildings in the UK has remained stable due to increased demand before and inactivity commented at the launch of speculative projects. This has also benefited from new buildings, which due to the better conditions have been obtained have allowed tenants to lower their rates of availability.

This increased activity was reflected immediately in the investment market, which has experienced a marked increase in the volume of business transacted with a clear dominance of the national capital funds. Of course, the prime locations continue to dominate the volume of transactions, secondary markets being in a second term and with little interest.

If we look now at the industrial and logistics market in France, with the Ile-de-France (Paris) as the prime example, we can begin to see positive signs in the first half of 2010, where demand particularly in buildings over 10,000 square meters has revived sharply. This revival has occurred mainly in the Ile-de-France market, leaving even the background of the other regional markets activities.

But maybe we still can not see visible results to stimuli in the French economy is expected that these appear in the coming months and that the worst of the crisis has already passed in regard to demand and income levels. In addition, the volume of investment transactions has doubled over the same period last year, again mainly concentrated in the Ile-de-France, leaving a second term in secondary markets, like what happened in in UK.

So, not getting carried away by the euphoria, we firmly believe we can be a little more optimistic. We do not know exactly how we will achieve levels or how quickly, but they certainly are taking the stage for the expected and wished revival of European industrial and logistics sector.

Enrique Escribano
Investors Manager

Hopeful news from the US Logistics Market

posted Sep 15, 2010, 3:53 AM by Joan Miquel Joaquim   [ updated Jun 20, 2011, 2:10 PM by X Juez ]

In the coming days, the research team of  LogisPark will post to the LinkedIn group "LP ONE World" a complete report of the behavior of the investments markets for logistics real estate  in New York (NY) and Los Angeles (LA), in "Big boxs" products (over 10,000 m2) .

Let me advance some key points of this research report:

Analysis US:
  • First quarter with positive absorption since 2007.
  • Delay of a semester from the economic recovery start
  • Increase in the new supply, breaking the downward trend since 2006
  • Decrease in stocks of the market compared with the previous quarter.
  • Vacancy Rate Decreased, breaking the upward trend started in 2008
  • Yields have started to fall, for first time since 2008
  • Nevertheless, rents continue to decline

Analysis Los Angeles
  • The absorption in LA has been Positive, with worse figures at Central (obsolete stock).
  • From last quarter of 2009, inventory of available m2 has been stabilized with a very slight growth since then.
  • Since the fourth quarter of 2009 begins a significant decline in Vacancy Rate, which remains constant during the following quarters.
  • The Availability has been steadily increasing, despite having experienced a significant decline in the first quarter of 2010 was followed by a large increase in the second quarter, but not reaching previous levels.
  • The LA market activity has progressively increased, experiencing a slight fall in the last quarter of 2010.
  • For the first time since a long time, the absorption of the market has been positive during the second quarter of 2010, indicating a improvement on logistic and industry market. Let's wait to see the trend of the following semesters to see if it holds and we can confirm this recovery.
  • Income levels continue to fall semester to semester, despite the improvement in other indicators.
  • Closely linked to income levels, selling prices have also continued to decline over the past year.

Analysis NY (New Jersey)

  • For the first time in a long time, and following the trend across the country, the vacancy rate has slowed in the second quarter of 2010.
  • The absorption has been positive this last semester starting a trend that we hope will continue from now on, which would indicate we are already at the beginning of the recovery of industrial and logistics market in the USA.
  • If we study separately the markets of Northern NJ and Central NJ, we note that the different sub-markets follow similar trends, like in the rest of the country.

Thanks,

J. M. Joaquim

Ten key points for managing a change of tenant

posted Jul 14, 2010, 3:20 AM by Joan Miquel Joaquim   [ updated Jun 20, 2011, 2:10 PM by X Juez ]

Over the life of any real estate asset in return at some point a change of tenant can be needed. This situation can obbey to the following reasons: 





  • Termination of leases :
    • Tenant does not extend the contract 
    • Owner does not extend the contract. Change in operators’ mix strategy in the portfolio
  • Negotiating out for economic reasons the tenant. At the present juncture, sometimes the inability of tenants to continue their business even with a contract in force drives the owner to find a replacement and a negotiated solution to the tenant. 

In any case, a change of tenant is a complex and multifaceted action that needs to combine the strategic, operational, technical, legal, communication and negotiation perspectives, and requires professionals (asset managers) that dominate these sites with an eye on the two main objectives: profitability and increased asset value. 

What points should be taken into account? We have established a list of ten, which we believe are final: 

1. KNOWING THE OBJECTIVES: The asset manager must know and be involved in the main objectives of the change of tenant to the landlord. How will the new tenant create value for the landlord? What kind of tenant is needed (multinational, national company, local company) to balance the portfolio? In low demand scenarios we may have difficulties to choose the tenants, but if the goal is clear, we can tailor our offer and our marketing efforts to target, and this means to have an intensive and extensive knowledge of the market. But the big question is: Can we reach the target and measure its achievement? What parameters will be needed? 

2. RECIPROCITY: The objectives of the new client also should be a priority. The asset manager must identify the key issues that affect and influence their decision making and insist on them in the negotiation. 

3. ASSET: The location of the asset and its ability of it to be flexible and adaptable to different customer needs are crucial. It is is essential for new client’s decision making to have an asset that allows operations from the first day. Sometimes happens that some old buildings in which a change of tenant is going to be done, the change of activity license involves an adaptation to the new regulations that can be expensive and sometimes it can became a barrier to entry or at demands for free rent periods. It is essential to have an asset that will ensure the minimization of fit-out works for the new tenant. This requires a medium-term work, since the decision to design and location, technical and market knowledge, capital expenditure planning (CAPEX) and carrying them to reach the turning point in the best arrangement.The question now is: What issues should take into account both in the design, location and in the planning? 

4. RISK: The risk-profitability balance is essential. Landlords are currently looking for solvent tenants and medium-long term relationships. The components of risk should be offset by increased profitability and this point should be measurable. The establishment of a rating of the portfolio and decision-making tools can help us to plan and measure. In a scenario of crisis elections can be restricted, but it is important to know at least what targets the medium and long term in terms of market operators, industries, etc. 

5. CONTRACT: The lease will make the relationship with the new tenant and it is important to focus on problematic issues and close them. Aspects such as price, duration, guarantees and responsibility are basic but they are not alone. It is important not to let the relational  and operating aspects in the air. This points should be closed. Having in the team work professionals who know the day to day and the basic functioning of these relationships is essential. 

6. OUTGOING TENANT: If a tenant arrival matches the leaving of another, contractual and operational planning is critical.  Dates should be known previously, the contract termination should be signed in advance and the output processes should be monitored, so that the arrival of new tenant to was assured on the date specified and in the best conditions. 

7. OPERATIONS: It is interesting to have a figure with experience that can anticipate problems of the move in order to plan the operation effectively. Anticipating difficulties and acting to minimize them increases customer satisfaction and profitability in the short term to the landlord. 

8. STATE OF THE ASSET: Knowing the status of the asset at all times is basic. The new tenant must come with a factory in perfect working condition. Knowing in detail the state of the building is needed in order to plan the repairs in advance. 

9. IMPROVEMENT WORKS COMPLETED: I must be known in detail the fit-out works undertaken by the previous tenant. Some may be of interest to any new tenant and must be agreed with both the old tenant and the new tenant the conditions under which such works would remain. Logistics facilities such as pallet docking, machinery, communications may be susceptible to this type of agreement. 

10. STARTING UP: For the implementation and adaptation of the new tenant of the building is essential to maintain a continued presence of a representative of the property (property manager) with sufficient technical knowledge to help in this adjustment and coordinate the activities of the new tenant, monitor the repairs that have left undone the previous tenant and other activities such as obtaining administrative permissions. 
 
Care Area
LogisPark World

Our Contract concept: best solutions for investors

posted Jul 7, 2010, 1:28 AM by Joan Miquel Joaquim   [ updated Jun 20, 2011, 2:10 PM by X Juez ]

    
Nowadays, real estate investment is within every well diversified investment portfolio. Despite global situation, there are still good real estate investment opportunities with higher yields than the ones given by similar risk alternatives. 
Operators from every economic activity (logistics, industrial, retail, hotels…) are prone to leasing options rather than to buy the buildings they operate in and they are willing to sign long term contracts, minimizing risks for the investor. In this whole process, investors and operators demand a holistic and direct service to maximize the value created.

    We compatibilize the expansion needs of the operator with the investment strategy of the investor. Starting from an operator demand, we find the best plot for it and design the project that will match operator and investors’ needs best. Once we have the plot optioned and the operator signed , we find the investor from our pool (ranging from developers, family offices or REITs…) that will afford the investment with the aim of getting recurrent cash flows and a possible future capital gain, being the most recurrent operations those of forward funding and forward purchase.


    So, what do we offer from Logispark World Contract services?


- Search for investor or operator for a given operation.

- Analysis of operator and investor needs.

- Search the plot that suits them.

- Study of economic and financial viability of the operation.

- Analysis of the types of real estate transaction to use.

- Optimization of project implementation.

- Consulting prior to the firm of the operation.

- Specifications definition (type of construction, materials, facilities, ...)

- Design of the building, in order to fit the user's operating parameters, investment and energy efficiency.

- Fund-raising and definition of optimal structure of liabilities.

- Construction Management (team management, monitoring of planning, costs control, resourcse control, supplies control, risk, quality, communication plan, license management, ...).

- Construction.

   

The structure of the transaction is supported by various contracts between the investor and the different actors establishing the rights and duties of all, to ensure the success of the operation:


- Plot: land sale contract

- Construction: delegated promotion contract

- Commerce: lease of a future thing


The Logispark solutions are based in our extensive market knowledge (logistics, retail, industrial, hotels) and the vast experience in developing real estate projects in this fields.


Contract Area
Logispark World

LPW Construction Solutions in Viapark Arroyo de la Encomienda

posted Jun 22, 2010, 7:49 AM by Joan Miquel Joaquim   [ updated Jun 20, 2011, 2:10 PM by X Juez ]

In Logispark World we are ready to implement the Viapark project in Arroyo de la Encomienda, the start of construction is planned for the end of this year 2010. Particularly, it is a commercial park where a worldwide well-known sporting goods sale enterprise will establish. The location is highly strategic:

- Optimal access, next to the A62 which links Valladolid with Salamanca
- 10 minutes from Valladolid
- 15 minutes from the A6 linking Madrid with Leon
- Less than two hours from Madrid and León
 
 
Close to ths park, there is another one to be developed in a second phase, with date to be determined. The lot has a 260m frontline leading to the street of access and an approximate total area of 18.000m2. In a first approach we have considered the possibility of building a hotel with associated facilities like parking area, dining area and commercial area with small and medium shops (700 to 1.400 m2 according to customers needs).

The project considers a surface of 9.500m2 for the sales area on the ground floor with a considerable height, and a 20.000m2 exterior parking has been planned, on ground level and uncovered. Other important design features of the project are detailed below.

The final platform levels of the different areas of the project have been studied for an optimized final balance of earthmoving works (earth output - earth input), thereby minimizing costs of earth transportation to dump or for embankment. The soil stabilization in areas of level changes is done either by battering with natural slope in some cases or with concrete walls in others.

The foundations are continuous under exterior reinforced concrete walls. The structure of the building has an isolated footings foundation, with a bracing perimeter beam, which appart from providing rigidity to the whole, will work as support for the precast concrete panels of the facade, where these have to be installed. Foundations are also to be considered in particular areas, for example, in the loading dock area.

The sewage will be separated, distinguishing between sewage and stormwater. The system chosen to gather and evacuate stormwater from the roof is the "full flow" type; experience shows us that for projects of this type, this system optimizes space, due to the number of necessary pipes is quite low and reduces dramatically the risk of saturating channels in case of extreme rainfall. This system allows the use of smaller pipe diameters in comparison to traditional systems, because no air is trapped inside allowing the full section to work 100%, at the same time, the "full flow" system allows a faster water evacuation in comparison to the traditional gravity systems.

The structure is geometrically defined by a grid with large spans ranging from 10 to 14m, depending on the zone and the direction. This grid allows us a proper distribution of shelves and corridors for the final configuration of the commercial area.

The façades of the buildings are focused on an innovative image, of dynamism and activity, avoiding any chaotic and disorganized environment. Therefore in the design of the façades different materials are used, such as a curtain wall to provide a better use of natural light, concrete panels, trespa ... The perfect execution of the joints between different materials and the use of few and optimal systems and materials is what gives buildings a plus of quality in comparison to other commercial parks in the area. 

 
 
The roof system chosen is the deck type, consisting of structural support, metal sheeting, insulation rigid panels, first waterproof layer and a second waterproof layer (autoprotected). A support system for the future implementation of a photovoltaic installation should be build.

The complex also offers retail and offices area in the same building. The distribution of this area is characterized by optimizing routes, minimizing the ones of the staff, and full coherence with the distribution and location of the technical rooms, where the connections with the main supplies are (energy, water, etc.). The finishing of the whole area is characterized by its suitability for use of the customer.

The floor, which is essential in life and functionality of the building has been designed within the parameters of high flatness and traffic. In the interior of the building a reinforced concrete slab will be build by a laser paver giving a final hard finishing. It will focus on hot spots such as the area of doors and entrances, where steel elements have to be placed, or expansion joints and other special transition points. Outside, in areas where movement of heavy trucks is expected, asphalt paving has to be specific for each area in terms of its use, in order to avoid problems on the floors caused by heavy truck wheels rolling over them.

Concerning to facilities, apart from the standards of the Technical Building Code to implement for a building of these characteristics, it is expected to install a solar garden in the roof of the building, giving an additional benefit to the developer/investor, and adapting the building to new environmental trends, to achieve "green" certificacions, like for example in the European Green Building programme.

Finally, regarding the interior urbanization of the plot, special care has been taken as far as road traffic is concerned, clearly marked parking areas and its lanes, entrances to and exits from the park, loading and unloading area for trucks and pedestrian walkways that lead the client into the building and the future second part of the project. All outdoor furniture is part of the Viapark concept image that the company has been developing over the last decade, so that both the lamp posts, seats and trees and green areas have been studied carefully. The facilities in the whole urbanization are designed and planned for maximum optimization and management.
 
Construction Area
Logispark World

Presentation of the Kingdom of Spain

posted Jun 20, 2010, 11:50 PM by Joan Miquel Joaquim   [ updated Jun 20, 2011, 2:10 PM by X Juez ]

Secretary of State for Economic, José Manuel Campa, started on 9 February touring Europe for foreign investors to explain the strategy of the Treasury this year and the benefits of the Spanish public debt. Enclosed is the presentation.
 

Facebook Application

posted Jan 28, 2010, 1:13 AM by Joan Miquel Joaquim   [ updated Jun 20, 2011, 2:10 PM by X Juez ]

Logispark World has created a Facebook application to link to this site, and get more fans (click here).

Google Translate is now operational

posted Jan 28, 2010, 1:09 AM by Joan Miquel Joaquim   [ updated Jun 20, 2011, 2:10 PM by X Juez ]

Since December the 19th, integrated translation is operational to other 49 languages besides English and Spanish are the languages native to the site.

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