Regional take-up of industrial and logistics rises in first half of 2020
CPP reports East Midlands industrial market remains strong
Take up for industrial and logistics space across the East Midlands increased markedly in the first half of 2020, with 7% more activity recorded than the same period in 2019, according to the latest market statistics released by EGI Radius Data Exchange.
The region was ranked third nationally for the period, behind Yorkshire and the South East, with over 4.25 million sq. ft transacted in the East Midlands in just six months, according to data compiled by EGi Radius Data Exchange, which canvasses deal information from the regions key agents.
Leading agents Commercial Property Partners (CPP) who cover the region from their Nottingham office, were reported as transacting the most floorspace in the East Midlands, totalling over 1.1 million sq. ft.
CPP Director Stuart Waite commented: “We are delighted to have topped the EGI Radius Data Exchange industrial & logistics league table for the East Midlands region, covering the 1st half of 2020.
“The sector has proven to be resilient during the pandemic with growth in e-commerce the driving force behind strong levels of take up in the sector.
“The outlook remains positive moving forward and on the back of this, we are continuing to see strong developer interest in well positioned sites across the region, which is ultimately still starved of good quality warehouse and industrial units across all size ranges.”
The majority of the firm’s success came from lettings in the mid-box sector, transacting upon buildings upwards of 25,000 sq.ft. – 100,000 sq.ft. which remains a very active part of the market. The figures were boosted with involvement upon larger lettings in excess of 200,000 sq.ft.
The strong performance of the region was underpinned with numerous notable deals including 550,000 sq. ft leased to Amazon at Panattoni Park in Nottingham, 177,000 sq. ft pre-let to Games Workshops at SEGRO Logistics Park, and 186,000 sq. ft let to Bleckmann at Gazeley’s Tornado 186 unit at Magna Park in Lutterworth.
Supermarket chain Aldi also committed to the region, with a 1.3 million sq. ft build-to-suit facility proposed on the form Nailstone Colliery, between Coalville and Market Bosworth in Leicestershire.
CPP Director Sean Bremner commented: “There continues to be great demand for high quality, modern space, and therefore the take-up has been strong.
“Increasingly, occupier demand is driven by the growth in online retail. The majority of current leasing and demand activity is created by businesses who are either directly involved in online retail or linked to it such as parcel delivery operators or manufacturers who now sell their product online.”
This was posted in Bdaily's Members' News section by Gina Francey .