Prologis signed a lease agreement with Dealer Tire Europe GmbH for a logistics facility totaling 25,319 square meters in Gernsheim, Germany. The agreement, which has a minimum term of 72 months, includes a 15,409 square meter main facility and a 9,910 square meter expansion. Construction of the expansion is scheduled to begin in February 2024.
Dealer Tire Europe, a service partner for automobile manufacturers and their tire and spare parts dealer networks, will occupy the renovated facility in June 2024 and the expansion upon completion in February 2025.
Renovation of the existing logistics facility will include the highest-quality materials, and sustainability will play a central role in development of the expansion. The building will be heated with a heat pump, and there will be an option to install a solar system on the roof. In addition, the facility will be equipped with electric charging stations for cars and bicycles. Prologis seeks to attain DGNB Gold certification for the facility.
Entrance Into the European market
With the logistics facility near Frankfurt, Prologis supports Dealer Tire Europe’s entry into the European market and offers a promising location with state-of-the-art standards. “We are very pleased to further develop our partnership with our customer Dealer Tire Europe GmbH and help them expand their business in Europe,” said Björn Thiemann, senior vice president, regional head Northern Europe. “It is important for us to be not only a landlord but also a strategic partner to our customers, contributing our expertise and resources to help them achieve their goals and succeed in challenging markets. That’s why we are proud to offer Dealer Tire Europe GmbH a facility in a region with high demand and limited supply.”
By modernizing and expanding the existing facility in the Rhine-Neckar region, Prologis is creating an attractive logistics location in a sought-after market. With proximity to Frankfurt Airport, the cargo port, and the A5 and A67 motorways, the project is an optimal logistics site. “The ideal location of the logistics facility is key for us to offer our customers the same excellent service they know and appreciate in our other markets. We are delighted to extend our successful partnership with Prologis to Europe,” said Daniel Ellerböck, managing director of Dealer Tire Europe GmbH.
About Dealer Tire
Dealer Tire, LLC is a family-owned business founded in 1999 by the owners of the former Mueller Tire & Brake, a Cleveland-based retail chain founded in 1918. Dealer Tire manages replacement tire and parts programs for more than 20 automotive manufacturers in the U.S. and China. The company serves more than 10,000 auto dealers from more than 40 distribution centers across the United States.
About Prologis
Prologis, Inc. is the global leader in logistics real estate with a focus on high-barrier, high-growth markets. At September 30, 2023, the company owned or had investments in, on a wholly owned basis or through co-investment ventures, properties and development projects expected to total approximately 1.2 billion square feet (114 million square meters) in 19 countries. Prologis leases modern logistics facilities to a diverse base of approximately 6,700 customers principally across two major categories: business-to-business and retail/online fulfillment.