Trammell Crow Company and CBRE Investment Management Break Ground on 250,000 sqm Blue Hub Logistics Park Near Madrid

Trammell Crow Company and CBRE Investment Management have broken ground on the first building at Blue Hub Logistics Park, a large-scale logistics development on a 40-hectare site in Illescas, approximately 32 kilometers south of Madrid. The project, announced June 29, 2026, is planned to deliver approximately 250,000 square meters of gross leasable area across multiple phases, with the first building targeted for completion in early 2027.

CBRE Investment Management is acting on behalf of a fund sponsored by the firm. The two companies acquired the Illescas plot in 2025 and subsequently received the building permit for the first phase of the masterplan, enabling the construction start.

Phase I: Two Multi-Tenant Buildings Totaling 60,000 sqm

The first phase of Blue Hub Logistics Park will comprise two multi-tenant logistics buildings totaling approximately 60,000 square meters of gross leasable area. The first building will provide approximately 25,000 square meters across five flexible modules of around 5,000 square meters each, with delivery targeted for early 2027. A second building of approximately 35,000 square meters, designed to a similar modular configuration, is also included in Phase I.

Both buildings are designed to accommodate a range of logistics and industrial occupiers, with unit sizes aimed at smaller and mid-sized tenants. According to the announcement, comparable multi-tenant buildings in Madrid's third logistics ring had previously been difficult to develop until recent changes in fire regulations, which now allow the type of compartmentalized, modular configuration employed at Blue Hub Logistics Park. The developers describe the product as addressing historically unmet demand for this type of space in the Illescas market.

Subsequent phases are expected to be delivered progressively over the coming years, subject to market demand. The overall project is designed to provide a flexible mix of speculative and build-to-suit logistics space.

Strategic Location in Madrid's A-42 Corridor

Blue Hub Logistics Park is situated in Illescas, within Madrid's established A-4/A-42 logistics corridor. The site benefits from immediate access to the A-42 motorway, which connects Madrid with Toledo and the south of Spain, as well as broader connectivity to the M-40 ring road and Madrid airport. The corridor is described in the announcement as an increasingly important location for industrial and distribution occupiers, and the Illescas submarket is characterized as part of Madrid's third logistics ring — an area where smaller multi-tenant units have been historically scarce.

The project's modular design is intended to respond to occupier demand for modern, flexible space in sizes that have been limited in the submarket. The mix of speculative inventory and build-to-suit capacity is intended to serve both near-term leasing demand and longer-term requirements.

Executives Comment on the Development

Gregg Gilbert, Head of Iberia at Trammell Crow Company, said: "Starting construction at Blue Hub Logistics Park marks an important step in bringing forward a major logistics project in one of Madrid's most established distribution corridors that offers the flexibility occupiers need, with smaller, high-quality units that have been historically scarce in Illescas and the wider third ring. Together with CBRE IM, we are pleased to be progressing a project that can support both immediate demand and longer-term build-to-suit requirements."

Antonio Roncero, Head of Transactions for Iberia at CBRE Investment Management, commented: "This development highlights the strength of our integrated approach, combining development and leasing capabilities to deliver best-in-class logistics assets. At Blue Hub Logistics Park, we are creating flexible, high-quality space that differentiates itself from existing supply in the surrounding market, while aligning with the needs of modern occupiers in Madrid's key logistics corridor. Our partnership with TCC, alongside our active projects across Spain, Germany and France, enables us to deliver consistently across European markets."

Trammell Crow Company's Broader Spanish Pipeline

The Illescas groundbreaking is part of a broader logistics development push by Trammell Crow Company in Spain. The firm has also commenced construction on a 36,000 square meter industrial and logistics warehouse in Cabanillas, near Madrid, and a 17,000 square meter building in Lliçà, near Barcelona. Both of those assets are owned by Talus Real Estate, an international real estate investor. Combined with the two buildings under construction at Blue Hub Logistics Park in Illescas, Trammell Crow Company states it is currently delivering a total of 113,000 square meters of logistics and industrial space across Spain.

CBRE Investment Management reported approximately $155.2 billion in assets under management as of March 31, 2026, and operates in 20 countries. The firm is an independently operated affiliate of CBRE Group, Inc.

Sources

Trammell Crow Company Newsroom — TCC and CBRE Investment Management Launch Development of c.250,000 sqm Madrid Logistics Park