Not all sectors of the economy suffered (as much) from the coronavirus pandemic in 2020. In the real estate market, the residential segments - greatly benefited by the drop in interest rates - and logistics warehouses - also favoured by the cut in interest rates, but mainly due to their character more defensive and the development of e-commerce - they ended up, in fact, having a good year.
The results of the construction and manager of logistic and industrial warehouses LOG (LOGG3) made this very clear and the trajectory of its actions.
Last year, the company controlled by the Menin family - the same that controls the Inter bank and MRV - saw its net income grow 53% compared to 2019, and Ebitda (Earnings Before Interest, Taxes, Depreciation and Amortization) grew 39% on the same basis of comparison.
In the second quarter of 2020, the most impacted by the pandemic, the warehouse operator's earnings release not only boasted growth in all the main lines of the balance sheet but also highlighted the record occupancy of properties (so far), in addition to a record area leased in the semester.The strong demand from retail companies for warehouses, in order to meet the demand of e-commerce, then booming out of sheer necessity, kept LOG in the game.
The phenomenon could also be seen in the real estate fund market, where those who invest in logistics warehouses (such as those owned by LOG, which occasionally sells an asset to an FII) were among those who suffered the least on the stock exchange last year.
In addition to the high demand for e-commerce, analysts often quoted another factor on the excellent moment experienced by the warehouse sector in 2020. The rental contracts for these properties are atypical, which gives them a very defensive profile.