Madrid industrial site revitalised as GLS signs up to new Goodman development supported by Madrid City Council

On the former Iveco Pegaso factory site in the East of Madrid, construction works for Goodman Madrid Gate 1 Logistics Centre has commenced today following the symbolic first pillar laying ceremony. Local authorities represented by Begoña Villacís, Deputy Mayor of Madrid, Mariano Fuentes, Councillor for Urban Development of Madrid City Council, Miguel Ángel Redondo, Councillor for Economy, Innovation and Employment of Madrid City Council were present at the event, together with Luis Doncel, General Manager Iberia of GLS and Ignacio García Cuenca, Country Manager of Goodman in Spain.

This facility is part of an ambitious project to revitalise an industrial site of more than 168,000 square metres which has seen an investment of €150 million to date. The new logistics hub – Madrid Gate Logistics Centre - comprises innovative, sustainable facilities in close proximity to Madrid’s main consumer centres, strategically located to provide access to Madrid gateway city, allowing to reach up to 5.2 million consumers in just a 30-minute drive. The growth of e-commerce is expected to represent 10% of retail sales in Spain[1] by 2025.

The first of the three buildings that will make up this hub has already been completed and delivered to its current client.

Construction begins today on the second facility which will house the headquarters and main hub for the Iberian Peninsula of the multinational logistics provider GLS. Covering over 33,000 square meters it is located 10 minutes away from Madrid city centre with easy access to the A2 highway and adjacent to Madrid Airport Barajas-Adolfo Suárez.

GLS’s new headquarters will be equipped with the latest logistics technology that will enable it to absorb and manage more than 1 million shipments per day, thereby increasing the capacity of the agency network and preparing for the double-digit economic growth expected in the coming years. The facilities, designed for cross-docking and urban distribution, will have more than 340 loading points and will be prepared to absorb a flow of 3,900 vehicles per day. With an expected investment of €91.9m, these facilities will unify the activity of the current GLS centres in Coslada and San Fernando de Henares and consolidate the GLS Group's presence in Spain.

Development is expected to be completed in October 2022, just over a year after the acquisition of the site. During the event, Deputy Mayor Begoña Villacís said "this project establishes Madrid at the forefront of the logistics industry of the future, attracting investment and generating employment in a flourishing sector while revitalising a strategic area of the city."

Ignacio García Cuenca, Country Manager Goodman Spain, explained that "Madrid Gate 1 is an emblematic project for our city and for Goodman that will give new life to a brownfield site while supporting GLS's business. We are committed to projects that minimise natural land take-up and allow a more sustainable and efficient use of land. We design our developments with long-term vision that meets the highest standards of quality to offer our clients, such as GLS, the most innovative and appropriate solutions to their needs".

The urban distribution facility’s design has been adapted to the customer's operational needs. As well as ensuring that GLS can receive the parcels every morning for same day distribution, it enables the company to carry out the necessary cross-docking to optimise operations and thus fulfil its commitment of 24 – 48 hr delivery.

According to Luis Doncel, General Manager Iberia of GLS, "Due to our proximity business model, it is essential for us to guarantee the present and future capacity of our agency network, made up of more than 520 agencies. Due to its strategic location, these new facilities will allow us to be close to our consignees and customers anywhere in Spain, optimising transit times and improving the quality of our operations, as well as reducing our environmental impact. We put technology at the service of people and society.”

A sustainable and efficient design to bring a new lease of life to the city

Goodman Madrid Gate 1 project has been designed to obtain the BREEAM Very Good sustainability certification and in line with the latest quality standards, based on Goodman’s commitment to sustainability, efficiency, and integration.

The brownfield project will be developed on former industrial land, revitalising, and boosting the economic and social development of the area and creating new jobs. Currently, 80% of Goodman's projects in Continental Europe are brownfield, and the company’s objective is to reach 100% in the region. In Spain, Goodman Madrid Gate 1 will be the sixth brownfield development, all of them located around Madrid and Barcelona.

In addition to the sustainability features of the building, the project also aims to protect and enhance biodiversity. Therefore, Goodman will contribute to the Madrid Metropolitan Forest with the plantation of trees, near the new logistics hub.