Market characteristics
As a small country located on the Balkan Peninsula, Montenegro is well known for its natural beauty and well-developed tourism and services industry. However, while Montenegro is relatively well positioned geographically, its small market size has resulted in a relatively limited demand for logistics and distribution centers.
Larger companies functioning in Montenegro have mostly invested in developing their own facilities, often by renovating or reconstructing former state-owned properties located in Podgorica, the capital of Montenegro. These account for ca. 90% the total available stock, which are mostly not available for lease to other companies. Still, a number of smaller companies still offer limited space for lease, with very few new developments planned currently.
However, with the construction of the new highway connecting Montenegro and Serbia coming to an end, the Port of Bar may well expect a growth in traffic over the next 3-5 years, which would increase the need for warehousing and logistics properties.
