Budapest Airport has signed a lease agreement with Swiss transport and logistics company Kuehne + Nagel to provide warehouse and office spaces at Cargo City, a new dedicated freight centre, which is yet to be constructed.

Construction of Cargo City is scheduled to start this year at the airport.

Budapest Airport is investing in the development of its cargo business as an integral part of the €160m BUD: 2020 Development Programme.

The lease agreement, which will become effective from 1 July, will enable Kuehne + Nagel to benefit from being close to airfreight operations at the airport.

“Jointly, we can bring the right cargo airlines with the right capacity and flight frequency to Budapest.”

Budapest Airport property and cargo director René Droese said: “Jointly, we can bring the right cargo airlines with the right capacity and flight frequency to Budapest.

“We can also further develop our logistics capacities according to the needs of our partners, based on the latest technological developments.”

The air freight division of Kuehne + Nagel in Hungary will directly supervise all the developments at Budapest Airport, which has an extensive operational basis for special or high-value cargo shipments of goods, including pharmaceutical products.

Kuehne + Nagel Hungary national air freight manager László Szabó said: “We believe that keeping our fingers on the pulse of our customers’ business helps us to react rapidly and meet all of their expectations, for example, new direct overseas services to Philadelphia, Chicago or New York.”

The Cargo City’s handover is planned for next month. The centre will handle freighters operated by carriers such as Cargolux, Turkish Cargo, and Qatar Airways Cargo, as well as belly cargo from other airlines.

Last year, Budapest Airport opened two major integrator facilities measuring more than 16,000m².