AD Ports’ Khalifa Economic Zones Abu Dhabi (Kezad) Group is investing AED 621 mn to develop 250k square meters of warehousing capacity in its zones, according to a statement. The move will expand Kezad’s pre-built industrial and logistics warehousing capacity by 43% by the end of 2025, when the new capacity is expected to go online.

The details: Kezad has begun developing new warehouse phases, including over 97.5k sqm of leasable area in Kezad Al Ma’mourah and 153k sqm in Kezad Musaffah, to supply a growing demand for warehousing space. The project seeks to expand pre-built facilities, including logistics and distribution warehouses, light industrial units, showrooms, and cold stores.

Background: More than 270k sqm of additional warehouse space has been delivered in the zone since 3Q 2022, accounting for 66% of leased area. The zone had around 587k sqm of prebuilt industrial and logistics facilities — including 93k sqm of cold storage facilities — in 3Q 2023.

Kezad is seeing a lot of developments over the next few years: The group also brokeground on its AED 330 mn Abu Dhabi Food Hub and Global Auto Hub, along with other projects located within Kezad Al Mamourah. The projects, which will both cover 3.3 square kilometers each, are part of AD Ports’ five-year capex program to invest AED 15 bn between 2023-2027. Kezad also inked a non-binding term sheet earlier this month with Hong Kong-based aerospace enterprise USPACE Technology Group to explore the development of a space eco-city hub in Kezad, with construction expected to kick off in mid-2024.

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