PALATINE CITY - The new gateway to Győr - By ITL REAL ESTATE

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PALATINE CITY THE NEW GATEWAY TO GYŐR



PALATINE CITY THE NEW GATEWAY TO GYŐR


6. Overview of Centrope & the region of Győr 8. The future is being built in Győr 11. Area Site in Győr 12. Description of the area 14. Outline of development options within the catchment area 16. Potential development of the area 20. Key economic figures of Győr region 24. Future trends 26. Conclusion


Investing in Győr, one of the main towns of Centrope, means investing in the long term potential of central Europe.


6

Overview of Centrope & the region of Győr Most Important investments within the Győr region + Audi (Germany) Engel Group (Israel) Doxeon (Cyprus) Leier (Austria) Interbonum (Germany) Alphapark (Austria) Proventha (Germany) Ritofrank (Germany) Prologis (USA), ECE Project Management (Germany). + The importance of Győr is linked within the framework of the region of Centrope including the cities of Vienna, Bratislava and Győr. + The Centrope region is considered the economic hubs of their respective countries in terms of business activity and development, and have a history of outperforming the EU average in growth. Due to its location, Centrope benefits strongly from its positioning as a gateway between EU markets with high purchasing power and the dynamic markets of younger and aspiring EU member states within central and eastern Europe. The general competitiveness of the region is set to improve further, thereby strengthening Centrope as an attractive business location.


5

4

COMMERCIAL CORRIDORS

7 4 10

7 INFRASTRUCTTURE

SLOVAKIA

Wien

UKRAINE

M30

Bratislava

M15

AUSTRIA

M2

M1

M3

M25

M3

M10

M35

M0 BudapestM0

M86

M3

M4 M8

M4 M8

M9

M44

M5

M7 SLOVENIA

M9

M60

ROMANIA

M9 M6

M9

SERBIA

Zagreb

CROATIA

M13

M49


8

The future is being built in Győr Why should companies choose Győr?

+ In the two decades following the systemic economic and political changes in Hungary, the economic structure of the city transformed. Győr was always considered a wealthy part of the country, given its western orientation and location, with a diverse number of light industry (textile and food processing). However, this segment declined or even ceased to exist during several periods. However, new sectors within commerce and financial services began to replace former industries. These new segments were reinforced by the rapid expansion of the commercial, banking and insurance networks.

+ The most intensive growth, however, was induced by the machinery sector including automotive industry, resulting from the large scale investment of the Audi company, which encouraged other related firms to establish a presence.


BRATISLAVA 80 km 55 min

VIENNA 120 km 70 min

GYŐR

+ „The future is being built in Győr”, is the moto of the city, which demonstrates their belief and strengths of Győr and an image they want to portray to others. The county seat of Kisalföld (small plain) has become the most dynamically developing and innovative city in Hungary, with a solid financial background, well qualified marketoriented labour force and a stable economic environment that supports these enterprises.

+ The geographical location of Győr is advantageous being on the Vienna– Bratislava–Budapest innovation axis and conveniently halfway between Vienna and Budapest. In addition, its well serviced and connected within the Vienna- Budapest international railway line.

+ A number of international airports provide an air link to the city, with Budapest 130 kilometres, ViennaSchwechat airport 90 kilometres, and Bratislava airport is only 60 kilometres from Győr. In Pér, which is only 15 kilometres from Győr, there is a small airport suitable for aircrafts of up to 75 passengers.

BUDAPEST 130 km 75 min

+ The river port of Gönyü located 20 kilometres away allows access to the city via a port linked to sea waterway.


10 + Győr is Hungary’s second wealthiest town, in terms economic and historic buildings after Budapest. Győr was presented with an European award for the protection of historic buildings, in acknowledgement of the reconstruction of the Baroque old town centre. The palaces, museums, characteristic corner-balconies and narrow lanes are all reminders of a historic past.


BU DA PE ST

Area Site in Győr

CITY Centre walking area

11 s nt I Sze

1 km distance

. nu

t vá

B ar oss . G. u

At Szigethy

re Je

. eu Imr

u. ni

gy Na

WIEN

tila u.

PALATINE CITY DEVELOPMENT

Fehérvár i u.


NORD

12

Szabolcska u.

Attila u.

Mester u.

Tihanyi ร rpรกd u.

The Land Site


Description of the Area m2 LAND AREA BUILDING Office building

13

cadastrian N

22 901 14 190

Workshop Deposits

510 3 358 1 140 3 653

Wastewater treatment building Plant buildings Transformator

252 8560 60

LAND AREA BUILDING

28 534 19 279

Office building Panital buildings Tintoria building La torre building Transformator

1 360 12 590 4 740 330 259

4567/4

TOTAL LAND AREA 51 435 m2 TOTAL BUILDING AREA 33 469 m2

4567/12 and 4567/18


Outline of development options within the catchment area Actual Definition of the Area 00355* GIPE 10/K/K/K-/140/04-/K = OTHER INDUSTRIAL AREA LIMITATION. On the front of Tihany Arpad and Mester utca in between of a width of 30 meters is only allowed to build a maximum 2 floor and maximum height of 9 meters building. It is possible to enlarge the surface of the building only taking in consideration an increase of parking spaces according to the national ruling prescription. The green zones of the area could be eliminated only if the same green area can be replaced somewhere else inside the limit of the property. The actual result of building intensity is 65%.


BUILDING AROUND THE AREA

15

GKSZ LKE

COMMERCIAL AND SERVICES AREA

GARDEN TOWN LIKE RESIDENTIAL AREA

LKE

VILLAGE LIKE RESIDENTIAL AREA

KOK

EDUCATION CENTRE AREA


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Potential development of the area THE CURRENT POSSIBLITIES IN ACCORDANCE WITH THE CITIES MASTERPLAN

OPPORTUNITY TO MODIFY THE CURRENT RULES ON THE DESTINATION AREA

1) Educational centres 2) Health centres 3) Social use building 4) Up to 2500 sqm commercial retail shops 5) Religious building

According to the actual and prospective situation of the market in Győr we consider the residential market as stagnant with no short term needs for significant development due to limited demand. The change of destination that could provide the most viable opportunity is the conversion to a Lk („little town like residential area”).

*The actual ruling destination should be chancing the City’s master plan.


THE OPPORTUNITIES OF DEVELOPMENT WITHIN AN „LK” AREA. IT IS POSSIBLE TO BUILD A STRUCTURE NO MORE THAN 9 METERS HIGH WITH NO MORE THAN TWO FLOORS

AND IF THE DESTINATION DO NOT DISTURB THE NEARBY AREA IT IS POSSIBLE TO BUILD

1) Services building linked with the concept of temporary offices, with a professional services 2) Restaurant building linked with the new presence of person in the area 3) Sport services building also because of a lack of big surface gym in the city centre of Győr 4) Educational buildings as in the actual destination with the same development opportunity 5) Health services buildings

1) Hotel 2) Administration centres (office) 3) Gas station


18 The current site provides an opportunity to “create” a new mixeduse destination in Győr. The current buildings could be utilised to convert the area according to the services and concepts that are in demand and appropriate for the site. ENTERTAINMENT DISTRICT Part of the site could be dedicated towards a restaurant, café and bar district that will attract locals and patrons within the surrounding area of Győr. PRIVATE HEALTH AND MEDICAL CENTRE There is a gap in the market for a private health and medical centre for the region. Within Centrope there is a growing number of potential patients with disposable income that can afford private care. However there is presently no offer on the market that could cater for general and day care services and dental within one building.

COMMERCIAL CENTRE There is also the potential market for a shopping destination attracting both independent and branded shops and services within a modern industrial atmosphere. It would be the alternative place to the old town, but still located in the heart of the city. It would be a multi-purpose area not only for shopping, but also temporary offices, fitness and recreation and a family friendly atmosphere.

PRIVATE STUDENT CENTRE There is a lack of development of student services in Győr, including more superior accommodation and places for entertainment where students can spend their leisure time. HOTEL There is an opportunity to convert part of an existing building infrastructure to an aparthotel for long-term stay, a serviced apartment concept that is not present in the town.


HOTEL

APARTMENT HOTEL FOR LONG STAY

PRIVATE STUDENT Centre

SUPERIOR SERVICES LONG TERM ACCOMMODATION FREE TIME OPPORTUNITIES

PRIVATE HEALTH AND MEDICAL Centre DENTAL AND GENERAL HOSPITAL SERVICES

ENTERTAINMENT DISTRICT

BARS RESTAURANTS

GAS STATION CAR WASH

COMMERCIAL Centre OFFICES GYM CENTRE RECREATION AREA


UNEMPLOYMENT

Key economic figures of Győr region

18 000 17 000 16 000 15 000 14 000 13 000 12 000 11 000 10 000 9 000 8 000 7 000 6 000

month / year 01. 03. 05. 07. 09. 11. 01. 03. 05. 07. 09. 11. 01. 03. 05. 07. 09. 11. 01. 03. 05. 07. 09. 11.

2010

INDUSTRIAL OUTPUT AND SALES

140

2011

2012

2013

(source: KSH*, 2013 *Hungarian Central Statistical Office)

%

130

Industrial output

120

International sales

110

National sales

100 90 80 70 60 50

month / year 01. 02. 03. 04. 01. 02. 03. 04. 01. 02. 03. 04. 01. 02. 03. 04. 01. 02. 03. 04. 01. 02. 03. 04.

2008

2009

2010

2011

2012

2013

(source: KSH, 2013)


INVESTMENT PER INHABITANTS 2013 (K HUF)

2000 2001 2002 2003 2004 2005 2006 2007 2008

Pest

Baranya

Bács-Kiskun

Jász-Nagykun-Szolnok

Tolna

Heves

Csongrád

Hajdú-Bihar

Veszprém

Fejér

Vas

Komárom-Esztergom

Győr-Moson-Sopron

Budapest

0

2009 2010 2011 2012

Nógrád

Zala

Somogy

Békés

Szabolcs-Szatmár-Bereg

Borsod-Abaúj-Zemplén

BUILT HOMES AND GRANTED BUILDING PERMITS

900

800

700

600

500

400

300 Hungay average

3 500

3 000

2 500

2 000

1 500

1 000

500

0 2013

year

(source: KSH, 2013)

21

200

100

counties

(source: KSH, 2013)

4 000

Build homes

Granted building permits


22


90 80

TOURISM DATA Hotel nights (‘000)

70 60 National sales

50 40 30

International sales

20 10 0 01. 02. 03. 04. 05. 16. 07. 08. 09. 10. 11. 12. 01. 02. 03. 04. 05. 06. 07. 08. 09. 10. 11. 12.

2012

HOSPITALITY INDUSTRY REVENUES (’000 HUF)

TYPE OF ACCOMMODATION TOTAL

Of those hotels

Of those pensions

month / year (source: KSH, 2013)

2013

International

National

Total

Average/room

Percentage comparison on the previous year (%) 3 883 252

2 831 788

6 715 040

4,8

107,2 %

97,1 %

102,7 %

102,7 %

3 403 808

2 176 616

5 580 424

5,5

108,5 %

95,6 %

103,1 %

101,9 %

341 923

521 822

863 745

2,9

97,9 %

103,3 %

101,1 %

106,9 %

(source: KSH, 2013)

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Future trends European Youth Olimpics in 2017

Large-scale investment projects can be expected before the commencement of the European Youth Olympic Festival to be held in Győr in 2017. Apart from the normal developments associated with holding an event of this nature, Győr’s city government is aiming to improve the energy infrastructure by rethinking energy processes, connecting energy production to a virtual power plant control system, organizing business and household consumers into a smart network.

The development of Audi

In 2013, Audi completed the investment of a €900 million plant at its base in Győr that will turn out A3 sedan models. The car is the first Audi is making entirely in Hungary.

The Győr Airport and Harbour development

The expansion of Győr-Pér Airport has begun: the project involves operation and development of aviation safety. After development has finished, Boeing737 and Airbus A320 planes will also be able to use the airport and this will enriches its infrastructural background and further expands Győr’s possibilities as a touristic destination. The Harbour is a combined logistic centre, where railway, water-way and roads meet 35 km far from the midpoint of Danube-Rhine-Main water-way.

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26

Conclusion

Győr

Due to the development path the city has taken over the past two decades following the systemic change – the city has become the second largest in Hungary after Budapest in terms of economic competitiveness and industrial potential. The dominant factor in this economic development has been the automotive industry, but other industries have confirmed their commitment to the town. Its geographical location and transportation endowments are excellent, well developed infrastructure provides investors the opportunity to invest not only in a city but a region that is economically vibrant. The local government has an open and long term view in continuing to enhance the city and provide the support needed to influence new investors on their decision to locate their investment in Győr.

For further information please take CONTACT ITL REAL ESTATE 1056 Budapest, Váci utca 81. s.schenk@itlgroup.hu or f.brilli@itlgroup.hu

MITAL Kft 9023 Győr, Tihanyi Árpád út 23. fbotto@bmm.it Tel.: +36 96 388070

Palatine City The current site that is for sale could be utilised to develop and transform this part of Győr into a new destination for mixed-use purposes. A place where inhabitants from the extended region (approx 500.000) could visit to shop, eat, stay and be entertained. There are a number of mixed-use purposes that could be created at Palatine City with a view in reducing investor risk and maximising returns.



CONTACT For further information please take contact MITAL Kft: 9023 Győr, Tihanyi Árpád út 23., fbotto@bmm.it, Tel.: +36 96 388070 ITL REAL ESTATE: 1056 Budapest, Váci utca 81., s.schenk@itlgroup.hu or f.brilli@itlgroup.hu

2014, Budapest, ITL Real Estate © PHOTOS: www.gyor2017.hu (Szalay Mona, O. Jakócs Péter) Palatine City, Shutterstock


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