LPP Logistics plans to launch a Distribution Centre in Romania
LPP Logistics has signed a lease agreement for a new Distribution Centre in Romania. Its strategic location near Bucharest and the use of modern warehouse technologies will strengthen the service provided to LPP Group stores in Romania, Bulgaria, and Greece, and in the future also in other countries of South-Eastern Europe. The new centre will be a key element in the Group’s further expansion, particularly in the context of the development of the Sinsay brand in this region.
The 11-year lease agreement signed for space at CTPark Bucharest West aims to increase the operational efficiency of the LPP Group in the markets of South-Eastern Europe. In the first stage, the new facility will enable the supply of LPP stores in Romania, Bulgaria and Greece, and in the following years it will also support other markets in the region. The warehouse will also play a key role in servicing online sales, providing logistics support for fulfillment centres managed by LPP Logistics in Romania. The launch of the new distribution centre will enable the LPP Group to implement its ambitious expansion plans for the Sinsay brand, which opened its 200th store in Romania in November this year.
– Our warehouse investments are closely correlated with the LPP Group’s development plans. After decommissioning our first foreign facility of this type, ensuring operational continuity in South-Eastern Europe became a priority. Thanks to operational agility and the ability to temporarily transfer processes to other warehouses in Europe, we were able to maintain the smooth supply of several hundred stores in the region and e-commerce warehouses. However, bearing in mind the long-term stability and efficiency of our distribution network, the reopening of the facility in Romania became a necessity. The new centre will not only improve service to local markets, but will also be a key element of Sinsay’s ambitious expansion plan in the region – comments Sebastian Sołtys, President of LPP Logistics.
Following a recent fire at its distribution centre operating on the Romanian market, the Polish operator’s priority was to take swift action to ensure operational continuity and uninterrupted deliveries to stores and e-commerce warehouses. Not only was the speed of the process itself crucial, but also the right location. The long-term lease agreement just signed for a new facility with an area of nearly 60,000 sq m, in the immediate vicinity of the fulfilment centre launched in October this year, is of significant importance for the effective functioning of the entire logistics network.
Efficient logistics operations at the new facility will be ensured by modern technologies, including automatic goods receiving systems, a sorter with a capacity of over 8,000 items per hour and an integrated system of automatic conveyors with a total length of 1.3 km. Thanks to these solutions, it will be possible to efficiently ship up to 6.5 million items of clothing per week. The company plans to expand the facility in the coming years in response to further volume growth and the development of LPP Group brands in the region.
The first part of the centre will be put into operation at the end of the first quarter of 2026, and shipments to physical stores will start in June. The new distribution centre in CTPark Bucharest West will be the tenth facility in the entire LPP Logistics portfolio. Next year, LPP’s total expenditure on logistics may reach PLN 1 billion, which underlines the importance of investment in the development of the supply chain and increasing the Group’s operational efficiency.
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LPP Logistics is a logistics operator managing LPP Group’s procurement and distribution network comprising distribution centres and fulfillment centres with a total area of nearly 600,000 square metres. It operates on three continents providing a full range of logistics services – from sea, rail and road freight, through the operation of its own customs agency, to advanced warehouse logistics using modern systems such as WMS, warehouse automation and Warehouse Intelligence solutions based on artificial intelligence algorithms.
LPP is a Polish family business and one of the fastest growing clothing companies in the region of Central Europe. For 30 years, it has been successfully designing and selling the collections and accessories in Poland and abroad. LPP manages five fashion brands: Reserved, Cropp, House, Mohito, and Sinsay, whose offer is available today in stationary and online stores in 44 markets worldwide. The company has a chain of over 3,200 stores with the total area of over 2.6 million m2 and distributes the products to 3 continents every year. LPP also plays an important role as it provides employment to over 54 thousand people in its offices and sales structures in Poland, Europe, Asia, and Africa. The company is listed on the Warsaw Stock Exchange in the WIG20 index and belongs to the prestigious MSCI Poland index.