1. Could you tell a bit about your career in Kyivmetalloprom?
(The questions were answered by Sergey Prilepko, the director of OJSC Kyivmetalloprom)

In 2006 I was proposed a position of deputy director for capital construction at OJSC Kyivmetalloprom. At that very time the idea of construction of a logistic complex, able to be competitive on the market of logistic services and supply our region with deficient spaces occurred. That complex (10 thousand square meters) was constructed and it was leased in November 2007.  Later I was promoted to the director of OJSC Kyivmetalloprom.

2. What products are being produced by your company? What is your production output?

Our company is one of the main manufacturers of moulding and fittings for plasterboard systems.  And the share of the market, covered by our enterprise, amounts to about 20-25 percent, despite a rather generous amount of such manufacturers in Ukraine.

3. What is the mission of your company? If you don’t mind, could you tell its difference from missions of other companies of your type?

Our mission is to be an efficient company. We are not genuine as to the way of making objectives, still at present we want to be efficient not only in production of components for plasterboard systems but also in provision of services of logistic complex.

4. We have information that you practised production of stock bins. Why did you decide to forgo this line?

Indeed we were producing the components for stock bins earlier. But we had to forgo this line due to the fact that the production of stock bins is metal-intensive and thus uncompetitive. Moreover, it enabled us to ramp up production of moulding and plasterboard systems.

5. How did the idea of construction of an A-class warehouse complex occur?

A key role was played by good geographic location, closeness to passing motorways and railways, availability of open spaces. This idea was obvious amid the demand for this segment of commercial real estate. (It’s not clear location of what the interviewee meant having said about “geographic location” Did they have a lot of land in possession or what he had in view?)
 
6. What are the requirements to a modern warehouse complex?

In addition to all well-known requirements, imposed to an A-class warehouse complex, there is a requirement and demand for warehouses with a well-developed multifunctional structure. The more related services may be offered to a client, the more attractive the project becomes.  Closeness to a customs post, well-developed transport infrastructure (in our case it is location at the Kiev-Odessa road, railway lines coming to the territory etc.) should be mentioned among such advantages. An important thing when constructing such type of warehouse spaces is estimation of maintenance costs that will be laid on a tenant during operation of premises.

7. How long have you been engaged with this project and what were the main difficulties during its execution?

Works on development and implementation of the project lasted from July 2006 to October 2007. The main difficulty lay in shortage of subcontractors. We managed to do without a general contractor. 

8. Your warehouse complex is sufficiently well located regarding the existing flows of cargo. Are you going to build a customs and licensing terminal in the near future?

There is a customs terminal operating for more than a year. At present the works on its expansion are under way. We are about to open another, more spacious and multifunctional customs and licensing terminal by March 31, 2007.

9. What transportation volume is the terminal planned for?

The terminal will include two warehouses for temporal storage of goods, one customs and licensing warehouse and two floors for parking of TIRs and storage of containers. Such area will permit to place up to a hundred TIRs and up to two hundreds of 20-ton containers, of total capacity of over 200 000 tons. The goods can be delivered to a temporal storage warehouse by road or by rail. This thing will increase the attractiveness and mobility of the warehouse. It is necessary to mention that there is a full range of broker services in addition to the existing range of services, being provided for placing of cargo and parking of TIRs. In the near future we’ll be able to provide services on certification of cargo.

10. Do you plan to construct one more warehouse complex in future? What differences from the existing complex will it have?

We plan to develop another container floor of total capacity of about 15 000 square meters in the short term. Also the project-preparatory works for construction of a warehouse terminal in close proximity to Ukrainian-Polish-Belarusian boundary are in progress. At the same time the works on setting into operation of one more A-class warehouse complex are under way. It’s planned to become operative on June 30, 2008.

11. What prospects of warehouse complex construction do you envisage? In your opinion, will the cutting of price for rent of warehouse spaces be at hand in the near future?

There is a dynamics of growth of investments to this real estate line during three last years. Judging by the existing warehouse space rental rates and comparing them to the prices in Slovakia, Poland, Russia, Hungary, we may assume that the present prices will be preserved during next 1-2 years.

12. What would you wish to the visitors and participants of our portal?

I would like to mention that just thanks to your site, we were able to find one of your major tenants and the investments into the registration on the portal were generously repaid!   Your portal is useful to everyone - to the sellers of either goods as well as to consumers. It is an excellent floor for finding of experienced and professional partners. And I wish successful business to all visitors and participants of the portal, and let it help you with this.