On January 11, CBRE CBRE Richard Ellis released a report that in 2021, tenants in Beijing's warehousing and logistics market were actively upgraded and replaced, and the supply also showed a year-on-year growth trend. The total new supply in the whole year was 139000 square meters, a year-on-year increase of 73%, and the new supply in the Beijing market also reached a record high. In terms of the business park market, the annual net absorption recorded 539000 square meters, an increase of 35% over the whole year of 2020, of which the pan Beijing Centergate Technologies (Holding) Co.Ltd(000931) regional demand is stable, and the rent expansion of head enterprises is still the main demand in the region.
Warehousing and logistics market:
The vacancy rate of the whole year was lower than 3%, and the supply in the market around Beijing reached a new high
The report shows that in 2021, the new supply of Beijing warehousing and logistics market totaled 139000 square meters, a year-on-year increase of 73%, but on the whole, it is still difficult to meet the growing warehousing and logistics demand in Beijing.
Judging from the changes of tenants, their upgrading and replacement are quite active. After the "e-commerce Festival", the vacated area of short rent was quickly digested by tenants with longer lease term and higher rent bearing capacity. In addition, a large-area lease transaction of e-commerce retail and third-party logistics related to the Winter Olympics was recorded in the fourth quarter, making the net absorption rise to about 30000 square meters month on month. In 2021, the total transaction area of third-party logistics leasing reached 61%; Although the direct leasing area of e-commerce retail accounts for only 15%, it indirectly contributes to the demand of third-party logistics through logistics outsourcing.
At the same time, in terms of vacancy rate and rent, the vacancy rate of Beijing warehousing and logistics market increased to 2.3% month on month for two consecutive quarters, while the average rent increased by 0.7% month on month to 53.7 yuan per square meter per month. The rent increase was less than 1% for two consecutive quarters, which was significantly slower than that in the first half of 2021. Throughout 2021, the vacancy rate in Beijing's warehousing and logistics market remained below 3%, driving the rent to rise at an annual growth rate of 5.6%. Driven by the demand for "urban distribution", the rent of Majuqiao and Economic Development Zone, which are more convenient to reach the central urban area, increased the fastest, and other regions also increased to varying degrees.
It is worth mentioning that in the fourth quarter of 2021, Tianjin and Langfang markets included four projects in the city, with a total volume of 437000 square meters. Throughout the year, the total new supply in Beijing Tianjin corridor market reached 1.646 million square meters, of which Tianjin accounted for 44% and Langfang accounted for 48%. The new supply in both places reached a record.
For the future trend of warehousing and logistics market, Li Hong, consultant and head of transaction services industry and real estate department of CBRE Lihua North District, pointed out: "In 2022, it is expected that 350000 square meters of new supply will enter the market in Beijing, and the increase of rentable area will drive the active demand for new rent. In view of the long-term dominance of people's livelihood in Beijing and the short-term shortage of supply in order to undertake the 2022 Winter Olympic Games, it is expected that there will be a small peak of demand in the first quarter of next year, and the rent will continue to increase. The Tianjin and Langfang markets are expected to enter the market in 2022 The new supply of 1.72 million square meters is expected to provide more choices for rent sensitive tenants around Beijing. "
Business Park Market:
The annual net absorption increased by 35% over the same period, and the pan Beijing Centergate Technologies (Holding) Co.Ltd(000931) region showed active performance
The report shows that in the fourth quarter of 2021, no new projects were delivered to the market of Beijing Business Park, and individual projects were postponed to the first half of 2022. The three new supply projects in 2021 recorded a total rentable area of 314000 square meters, only 30% of that in 2020.
In the fourth quarter of 2021, the sub markets of Pan Beijing Centergate Technologies (Holding) Co.Ltd(000931) region continued to be active, recording a net absorption of 39000 square meters. Since the second half of 2020, the quarterly net absorption has remained above 35000 square meters. The rent expansion of leading enterprises is still the main demand in the region. The area vacated due to fluctuations in some industries was quickly digested, and the overall vacancy rate in the region decreased to 3.7%, the lowest in recent four years. From the perspective of the industry, biomedical enterprises continue to release demand and accelerate the de localization of the area of relevant positioning industrial parks; In addition, TMT (i.e. technology, media and telecommunications industries) and real estate construction have also performed well in the economic development zone, Fengtai Science and Technology Park and Beijing Electronic Zone High-Tech Group Co.Ltd(600658) sub market.
Overall, in 2021, the net market absorption of Beijing Business Park recorded 539000 square meters, an increase of 35% over the whole year of 2020. With the gradual elimination of the vacant area of existing projects, the vacancy rate decreased by 4.1 percentage points year-on-year to 17.9%. It is worth mentioning that the TMT industry remained the demand engine throughout the year. In addition to the continued expansion of Internet leading enterprises in Shangdi and Beijing Centergate Technologies (Holding) Co.Ltd(000931) software, integrated circuit enterprises also released demand in Beiqing road and Beijing Electronic Zone High-Tech Group Co.Ltd(600658) sub markets.
In terms of rent, the average market rent of Beijing Business Park decreased by 0.4% year-on-year in 2021, which was significantly narrower than that in 2020. Among them, the pan Beijing Centergate Technologies (Holding) Co.Ltd(000931) cluster increased by 3.0% year-on-year and other regions decreased by 2.5% year-on-year.
Looking ahead to the market in 2022, Liu Huanli, managing director of CBRE Lihua North District, said: "In 2022, the market of Beijing business park is expected to add 1.216 million square meters of supply, ushering in the historical supply peak. The entry of a large number of high-quality new projects into the market will provide strong space support for the introduction of digital economy and high-precision and cutting-edge industries in various regions, and will also aggravate the competitive pressure in some sub markets. Pan Beijing Centergate Technologies (Holding) Co.Ltd(000931) with outstanding industrial ecological advantages" The regional rentable area may still be in short supply, and there is still room for a slight increase in rent. In addition, with the relocation of Beijing Industrial Development Center to the south, the development of industrial clusters in southern regions such as economic development zone and Daxing will be gradually clear, and the decentralization of R & D office will be accelerated. However, the peripheral office properties will still face the pressure of decontamination, and the rent is expected to continue to decline. "
