The industrial and logistics real estate market has evolved quickly in recent years and 2024 is set to be no different. The whole sector is underpinned by long-term growth trends that are coming back to prominence after recent economic uncertainty.
The ongoing e-commerce boom is a major contributor, as is the realignment of supply chains post-Brexit that has put greater emphasis on industrial and logistics property than ever before. Data from Colliers illustrates this demand is having effects on rental values, with substantial average year-on-year increases for both large distribution warehouses (10.1%) and smaller or multi-unit lets (9.9%) as of Q4 2023. Where are the emerging industrial and logistics markets for 2024 that offer value to businesses?
Industrial property for rent in the West Midlands
The West Midlands is one of the most significant industrial and logistics locations in the UK thanks to its central location and advanced economy. This makes it extremely popular and means that demand for space is consequently high.
Data from Savills in H2 2023 shows that there is approximately 0.7 years’ worth of available industrial space available, and of that 20% was set to exchange by the end of last year. Of the remaining space, just a quarter is the most popular Grade A designation.
Looking to the future, there are 13 units currently in construction totalling 2.74m sqft. These are concentrated mainly in the smaller or multi-unit let category. Overall, the low amount of space available means that if you are looking to expand your operation in the West Midlands or open a new base in the region, the time to act is now – especially given that only a minimal percentage of the available space is Grade A rated.
One such opportunity is Hay Hall Business Park which has several premium units available and ready for occupation now. Located in Tyseley on the outskirts of Birmingham, Hay Hall offers businesses an unbeatable position in the West Midlands which gives access to the whole country.
Learn more about industrial units to rent near Birmingham today >>
Industrial property for rent in the North West
Like the West Midlands, the North West enjoys good access to the whole of the UK via the motorway network. It also provides direct connections to the big east and west coast ports which make it a premium location for any business requiring industrial and logistics property to rent.
The amount of vacant floorspace in the region is more than 3% lower than the pre-2019 peak according to Savills as take-up has continued to increase. Occupier demand has leaned more towards better quality units with a focus on Grade A, sustainable buildings and pre-lets of new developments ahead of completion.
This focus on quality and pre-lets has inspired developers to continue investing in the region and this makes the North West an emerging market of note for businesses looking for the best quality. 2024 is the ideal time to invest in your business and upgrade facilities.
Developments like Botany Bay Business Park, Winnington Business Park and Astmoor Point provide modern, well-located industrial and logistics property to rent in the North West which can give you a foothold in the region with all the advantages that offers.
Industrial property for rent in Wrexham
Our final emerging market for industrial and logistics property in 2024 is an old favourite of those in the know. Wrexham is located within a short drive of both the West Midlands and the North West, as well as being on the national motorway network, giving it all the advantages of those two locations.
It is also one of the UK’s most important manufacturing hubs with 20% of all people in the city employed in this sector. That is a deep talent pool that makes Wrexham extremely attractive to relevant businesses. Wrexham Industrial Estate alone is home to more than 340 businesses and employs 10,000 people.
The ongoing expansion of Wrexham Industrial Estate and other nearby facilities like F Lloyd (Penley) make Wrexham one of the UK’s key emerging industrial and logistics locations in 2024. If you are looking for new industrial property to lease in the UK, you will find some of the highest quality and best connected units in the country in Wrexham.
Learn more about our available properties today >>
