Over £1bn of capital was invested in UK industrial and logistics property in the first half of 2013, more than the total volume transacted last year, according to new research from leading property advisers CBRE.
The South West market performed considerably well during this period, with 742,000 sq ft of take-up. The largest deal so far this year was in Swindon, where Howard Tenens took 237,000 sq ft as part of their expansion of operations in Wiltshire.
In and around Bristol, Culina Logistics took space in one of the few new buildings available in the South West, acquiring 212,000 sq ft of Crossflow 550 on Cabot Park. However, the deal required the unit to be split, leaving 338,220 sq ft remaining.
James Morgan, Head of Industrial Agency and Development at CBRE Bristol, commented: “We have witnessed a resurgence in buyers eyeing quality UK industrial and logistics property this year, driven by compelling evidence of the sector’s performance relative to other asset classes. Occupier markets continue to thrive and the resulting lack of prime stock has led to a surge in design and build activity in the best markets.
“However, with the exception of Crossflow 550, there are very few good quality buildings available in the South West. This is presenting difficulties for occupiers, particularly those with immediate requirements. Although pleasingly there are a number of sites across the region, particularly in the Bristol area, that could deliver new space on a built to suit basis.”
