Third-party logistics provider Exel has signed a Preferred Supplier Agreement with CB Richard Ellis for the provision of property services throughout Europe. It is thought the development will revolutionise the way logistics property is supplied and managed.
The agreement will facilitate a major expansion drive by Exel throughout Europe as well as allow it to use any of CB Richard Ellis’ European offices on pre-agreed terms and conditions. In return, CB Richard Ellis will undertake to make available all resources necessary to implement Exel’s expansion programme.
Exel – its existing operating portfolio totals more than 10.2 million sq m worldwide – is currently considering potential property acquisitions in Europe totalling 1.3 million sq m. The agreement covers a range of property services including agency, valuation, development consultancy, site searches, due diligence, project management and building consultancy.
The move is part of Exel’s group wide strategy towards using preferred supplier status in procuring services.
Guy Frampton, head of CB Richard Ellis’ European Industrial and Distribution business, comments: “This is a first for the logistics sector as well as being one of the largest preferred supplier agreements to be signed in the property sector as a whole. It marks a significant step towards our objective of becoming Europe’s leading adviser on distribution and logistics property.”
Roger Mann, director of Property EMEA for Exel, says: “Our business depends on being able to provide distribution facilities for global customers when they need them. Getting the property solutions right from the outset will play a major role in securing that business.”
Exel will add further suppliers in