Industrial facility rents up in Abu Dhabi
Abu Dhabi, December 4, 2013
The average rents for light industrial facilities across the main Abu Dhabi areas rose off the back of strong demand during 2013, said a report.
Rental values in Mussafah and Industry City Abu Dhabi rose 5 per cent and 10 per cent respectively year-on-year, according to the report by Knight Frank, a leading property consultancy.
The 2013 Abu Dhabi Logic Report said that tenant demand has increased steadily with the opening of Khalifa Port and Kizad this year, along with the first tranche of pre-built warehouses to be delivered by Kizad this month.It is now over 60 per cent pre-let.
The new occupiers such as Spinneys, Al Dhahira and Brazil Foods have all signed Mussatah land leases at Kizad, with all investing heavily in the construction of logistics and production facilities.
The demand has been further strengthened by the opening of the new in-field terminal at Abu Dhabi Airport and FedEx Express’ 31,000 sq ft airport facility, said the report.
"The light industrial and logistics market in Abu Dhabi is showing some very positive signs. Enquiries from the non-oil sector have been strong, and the infrastructure being developed in Kizad at Khalifa Port, as well as the airport is world class,” said Edward Batten, the manager.
“Mussafah, although it is still showing signs of resilience, will continue to become a secondary location for these light industrial occupiers, especially as the full offer of Kizad comes to the forefront,” he added. - TradeArabia News Service