Built-to-Suit (BTS)

Built-to-Suit (BTS) refers to an industrial real estate development strategy whereby a property developer designs and constructs a warehouse or logistics facility specifically according to the operational, technical, and spatial needs of a single tenant. This approach contrasts with speculative developments, as the BTS property is not built before securing a tenant but instead tailored through a collaborative process starting from tenant requirements. The BTS lease agreement typically involves a contractual commitment from the tenant to occupy the asset once completed, ensuring the developer’s investment is aligned with the tenant’s business plan. For companies in manufacturing, logistics, or distribution sectors, BTS solutions provide operational efficiency by integrating customized features such as ceiling height, bay layouts, dock doors, electrical capacities, and technological infrastructure right into the building plan. Financially, BTS structures allow tenants to avoid up-front capital expenditure on land acquisition and construction management while gaining access to fully bespoke, modern facilities. From the developer’s perspective, BTS projects require careful upfront planning, precise specification gathering, and risk management related to tenant solvency and market conditions. In the CEE region, and particularly Slovakia, BTS properties have become a preferred vehicle for international logistics operators and manufacturers seeking rapid yet controlled expansion. IPEC Group leverages its regional development expertise to deliver scalable BTS solutions aligned with local regulations, sustainability goals, and the evolving industrial landscape.