Demand for smaller warehouses under 50,000 sq ft has never been stronger, new research shows.
Data from CBRE shows that the smaller build sector was badly affected by the downturn in the economy – and developers have yet to begin large-scale speculative development now the economy has recovered.
CBRE say that enquiries about units under 50,000 sq ft accounts for 60% of new business.
Some parts of the country are seeing new development, Greater Manchester among the busiest.
Six smaller units are to be built next to the new Amazon unit at Airport City, thanks to developers Mountpark/Stoford. Work is expected to start early in the new year with a good number of occupiers already showing strong interest in the units ranging from 17,500 sq ft to 35,000 sq ft.
In Stockport, the Council has submitted detailed planning for the speculative development of 146,000 sq ft at the former Gorsey Bank site which has now been renamed Aurora Stockport. The scheme will provide 10 industrial units ranging in size from 8,500 sq ft to 46,000 sq ft. Consent is expected by early January 2016 with works due to start shortly thereafter.
Scarborough Developments may also build a stand-alone unit of 40,000 sq ft and a terrace of industrial units within their proposed mixed use scheme at Orbital One, Stockport.