18,000 sqm Lease With CTP Enables FIEGE to Deliver Nexen Tyres From Czech Republic to Car Manufacturers Across Europe

Regulatory News:

CTP, Europe's largest listed developer, owner, and manager of industrial and logistics properties by gross lettable area (GLA), has leased 18,000 sqm to FIEGE, a leading provider of logistics and transport services in Europe, at a new 71,000 sqm industrial and logistics building which is currently under development at CTPark Žatec in the Czech Republic.

This will be FIEGE’s third location with CTP, following existing leases in Poland and the Czech Republic, and brings their total occupation across CTParks to 59,000 sqm. From April 2024, the new regional distribution centre at CTPark Žatec will be used to store tyres from Nexen Tire Europe and supply them to automotive manufacturing plants across Europe. The warehouse had to be specially adapted for the storage of tyres in transport cages, which was handled flexibly by CTP. FIEGE will provide complete logistics services at CTPark Žatec for Nexen Tire Europe, which has its European production plant close by.

This new agreement is driven by the current ‘nearshoring’ trend, which is seeing many companies bring production closer to their customers and increase their European production capacity, and the resultant growth in the supply chain. That is why FIEGE has extended its cooperation with South Korean tyre manufacturer Nexen Tire Europe and will transport tyres from CTPark Žatec to the production plants of European car manufacturers such as Volkswagen, BMW, Audi and Škoda.

"This project in CTPark Žatec is a key step in our strategy to strengthen our logistics operations in Europe and is a direct response to the growing trend of nearshoring, where companies are bringing production closer to their main markets. The cooperation with CTP and the use of cutting-edge technologies in our new distribution centre will enable us to provide highly efficient and sustainable logistics services. We are proud that this move not only increases value for our clients and partners, but also actively contributes to the development of the region and supports the local economy," explained David Peterka, Head of Business Development at FIEGE.

"The cooperation with FIEGE in CTPark Žatec is already our second common project in the Czech Republic and the third in Europe, because FIEGE is also in our premises in Poland. These repeated partnerships prove how effectively we can grow and develop together with our clients. Our mutual understanding and responsiveness to FIEGE's specific needs allows us to provide services that support their expansion while strengthening our position in the market," said Jakub Kodr, Head of Business Development at CTP Czech Republic.