The city of Malaga, which spearheads the logistics sector in the eastern part of Andalusia, is making progress in the process of expanding the surface area dedicated to logistics activity.

To meet the needs generated by the increase in e-commerce and population growth, Malaga has plans for more than one million new square metres in the medium to long term thanks to the urban development of sectors such as Huertecilla Tarajal, La Loma I, San Julián and Rosado Este.

However, at present, the shortage of available space is the main obstacle for major national and international operators to set up in the city.

This scarcity has led to a stabilised rent of €5/sq m/month and a high level of interest on the part of investors.

If a few years ago the main problem to be solved was the flooding of most of the city's logistical footprint due to its proximity to the river, the challenge now is to promote the urban planning of different developing sectors on which we are working. The aim is to be able to put land for urban development destined for logistical use on the market as soon as possible.

There are currently just over 300,000 metres of pure logistics stock in Malaga. Most of the stock is occupied and in many cases it is becoming obsolete. If we include warehouses that are used for logistics activity without being built or designed for this use, the stock increases to 500,000 square metres.

Demand is led by courier operators and logistics companies providing services to third parties. There is also significant demand from end users who, due to the growth of their market, need to be able to provide service to their local customers, with special emphasis on food and textile distribution companies.

The city requires adaptation and modernisation to enable operators to develop their business to accommodate increased end-customer demand.