Best Price Company (Fix Price discount supermarkets) has made a leasing contract for 20,000 sq. m in A class warehouse premises in Logotsentr Kuban located in Krasnodar. 15,000 sq. m of the property will be occupied by the tenant in August 2014, and the rest 5,000 sq. m in August 2015. The lease term is 5 years, Knight Frank was appointed consultant of the deal.
The construction covers 180,000 sq. m of quality warehouse space and 4,000 sq. m of office space on 32 hectares of land within the limits of Krasnodar city, on the first line of M4 Highway (the Don Highway). The clients have the opportunity of renting the premises as well as custom construction with the subsequent acquisition of warehouse space. At the moment phase I of the Logotsentr Kuban project with a total area of 40,000 sq. m is complete; phase II (40,000 sq. m) is currently in progress. The project will be fully delivered by 2017.
The Fix Price retail chain offers a variety of food commodities and manufactured goods at a fixed low price. The project has been implemented in Russia since 2007. As of today, there are more than 900 Fix Price stores in Arkhangelskaya, Astrakhanskaya, Belgorodskaya, Bryanskaya, Vladimirskaya, Volgogradskaya, Voronezhskaya, Ivanovskaya, Kaluzhskaya, Tulskaya and other regions as well as in Komi Republic, Mordovia, Mari El Republic, Bashkiria, Tatarstan, and in Stavropol and Karsnodar Krai. Fix Price stores gained popularity in Western Europe and the USA back in the 19th century.
Konstantin Fomichenko, Director of Corporate Clients Group, Knight Frank Russia and CIS, notes: "The Fix Price format proves to be effective in the south of Russia. Leasing the quality warehouse space in Krasnodar is yet a significant stage of Best Price Company’s active regional expansion."