GLP bags its largest lease agreement in Brazil

Leasing 1.1 million sqft to Riachuelo.

Global Logistic Properties Limited (GLP), which provides modern logistics facilities in China, Japan and Brazil, has leased 106,000 square metres (sqm) or 1.1 million square feet (sq ft) to Riachuelo at GLP Guarulhos in São Paulo. The customer is the largest fashion retail company in Brazil.

Jeffrey H. Schwartz, Co-Founder and Chairman of the Executive Committee of GLP, said: “We believe GLP Guarulhos is the best logistics park in Brazil in terms of building standards, location, infrastructure and space capacity. Given Riachuelo’s growth plans, the company looked not only for an optimal location but also a facility that would allow for future expansion. Our team in Brazil did an outstanding job in working closely with Riachuelo to understand, and satisfy, their near and long-term logistic requirements.”

Riachuelo is part of Guararapes Confecções S.A., the largest fashion group in Brazil with 212 stores nationwide totaling 490,000 sqm (5.3 million sq ft) of sales area and 39,000 employees. In 2013, the company opened 43 new stores. Guararapes is listed on the São Paulo stock exchange (BM&FBOVESPA: GUAR3(ON); GUAR4(PN)) and the group researches, develops, produces, distributes and finances fashion throughout Brazil.

GLP Guarulhos is part of GLP Brazil Development Partners I, in which GLP holds a 40% stake. It comprises 15 buildings to be built in phases, with a total leasable area of 435,000 sqm (4.7 million sq ft). The four completed buildings totaling 154,000 sqm of leasable area (1.7 million sq ft) at GLP Guarulhos are 100% leased.

GLP Guarulhos’ strategic location makes it an ideal hub for domestic distribution in Brazil, the company said. It is located 24 km from downtown São Paulo and 15 km from São Paulo–Guarulhos International Airport, with a private overpass access to the Dutra highway – Brazil’s most important highway linking the two major markets of São Paulo and Rio de Janeiro.