International Seminar on City Logistics: Challenges and Strategies for Sustainable Urban Freight July , Seoul, Korea Logistics Hotels in Paris

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International Seminar on City Logistics: Challenges and Strategies for Sustainable Urban Freight July 6 2016, Seoul, Korea Logistics Hotels in Paris Dr. Laetitia Dablanc, IFSTTAR/University of Paris-East, MetroFreight, and University of Gothenburg

IFSTTAR/University of Paris-East French Institute of Science and Technology for Transport, Development and Networks Established in 2011 from the merger of INRETS (transport) and LCPC (Infrastructure) 1250 employees including 400 tenured scientists, on five locations in France A public research institute under the joint supervision of the ministry of Ecology and the ministry of Research 80% engineers, 20% social scientists, all transport and transport infrastructure

The Paris region, the city of Paris and the new Paris Métropole (2016) Population: 2 M in city, 7 M in metro, 12 M in region

Perceived issue: logistics sprawl Parcel transport terminals: 1974 and 2011

Logistics sites in the Paris region Frémont, 2012

City of Paris priorities for logistics activities Addressing logistics sprawl - Consolidating freight shipments - Transferring to cleaner modes - Providing modern logistics facilities - Increasing mixed land uses - Testing new architecture and urban planning concepts

Logistics hotels in Paris: objectives Addressing logistics sprawl issues (emissions and congestion) by accommodating logistics buildings in the center of Paris metropolitan area Consolidation of freight transport to Paris and transfer to cleaner modes of transport Providing modern logistics facilities to businesses Increasing the mix of activities: logistics activities, leisure, datacenter, sport facilities, office spaces, housing Testing new architecture and urban planning concepts for the integration of logistics facilities in dense urban areas: form, acoustic, energy efficiency

2006 Zoning Plan of Paris

2013 Charter for Sustainable Logistics Signed in 2013 with 16 strategies Including logistics hotels Two main projects: Chapelle International (under construction) and Beaugrenelle (operating since 2013)

2016 zoning plan of Paris: promoting further urban logistics facilities

Chapelle International logistics hotel 45,000 m2 under construction in the North of Paris Sogaris (investor), SNCF, City of Paris

Projects partners SOGARIS, a logistics real estate developer and manager (main shareholders are city of Paris and other local governments) City of Paris French rail infrastructure manager (SNCF Reseaux) XPO and Eurorail: 3PL companies Potential clients: wholesalers, large retailers serving Paris, parcel and express operators Planning and zoning city regulators Fire and safety administrations

What will be inaugurated in 2017

Building programme Urban farm and tennis courts Offices and data center Urban freight rail terminal Urban distribution terminal

Urban Rail Terminal: rail shuttle Rail shuttle twice a day to carry 40 to 80 lorries from a suburban logistics cluster to Chapelle International Agreement signed between Sogaris, XPO and Eurorail in 2016 Operations planned for 2017

One lesson so far: a very long process 2010: SNCF launches a request for proposals for a logistics project - with rail freight operations (imposed) - not above 7 metres from street level (imposed) 2011: Sogaris project selected 2012 + 19 months: building permit 2013: Special agreement for large industrial buildings 2014 Nov-Dec: Impact Study and public enquiry 2014: ICPE permit (hazardous activities) 2014: Specific Notice for Rail Safety permit 2015 Sept: ownership of the site to Sogaris and start of works 2015 Dec: agreement signed with rail operator and logistics provider 2016 Jan: end of excavation works; agreement signed with wholesaler 2016: Modifying Building Permit sollicited 2017 Sept: expected inauguration

One question so far: a risky investment? Total footprint of 18,000m 2 45,000m 2 of built floor space including 35,000 for logistics activities and 10,000 for other activities: incubator for logistics start ups, training school and offices for logistics, data centre Fifth façade with urban farm and sport courts Logistics rental price of 100 euros/m/y A total investment of 30 million euros for Sogaris Expected return on investment in 20-25 years Expected net creation of 300 new jobs

Beaugrenelle logistics hotel 3,000 m2 in operation in the South of Paris Sogaris (investor), Chronopost (Poste Group), City of Paris

Beaugrenelle Out of the conversion of a former parking facility Operated by Chronopost express Last mile deliveries made by 10 electric vans and 20 diesel vans 5,000 deliveries a day

Conclusion Logistics hotels are much advertised at the political level in Paris Their market share by 2017 will remain small (2% of total Paris deliveries and pick-ups daily) Interesting architectural/urban planning issues that other French and European cities are looking at