Logistics driving demand for industrial stock
Despite the global impact of Covid-19 on the economy, throughout the pandemic demand for industrial and warehouse properties has outpaced supply, making this the most robust commercial property sector. Fenn Wright continue to experience strong demand for industrial spaces of all sizes throughout Essex and Suffolk.
Developers have identified both the shortfall and improved rental potential and we are seeing signs of investment in industrial development schemes in the region. Hopefully, this should help to meet some demand, however with the industrial sector at its busiest, lack of available units is a major issue which needs to be addressed if we are to continue to grow and rebuild the economy in the Eastern region.
Demand is such, that as we bring B2 and B8 properties to the market, immediate interest is generated, often resulting in multiple offers and outcomes in excess of the asking price.
A selection of some recent transactions from our Commercial agency team can be found below:
James Wright recently agreed a new lease on this 25,000sq ft industrial premises on the established Freebournes Industrial Estate in Witham having sold the property to an investor earlier this year.
This prominent unit of approx. 15,175sq ft on Whitehall Road, being marketed by our commercial agency team in Colchester, has attracted a strong level of interest and is under offer, due to complete imminently.
Under offer: This extremely rare freehold opportunity on Chelmsford Road Industrial Estate, Dunmow comprises 6,472 sq ft of industrial/warehouse with secure yard. The price agreed is significantly in excess of the £825,000 guide price due to competitive interest.
Michael Moody recently agreed a new lease on this lightly refurbished 6,325sq ft unit located at Global Park, an established commercial estate in Colchester, Essex.
This week, our Commercial agency team in Chelmsford completed the letting on this 5,239sq ft unit on the popular Eastern Industrial Estate in South Woodham Ferrers having sold the property to an investor in May. The property achieved the quoting rent of £45,000 per annum.
James Wright, Associate Partner at Fenn Wright comments “Demand for industrial premises is showing no signs of slowing down and given the shortage of available stock, this has put upward pressure on both capital and rental values. Any owners of properties like these who have not had a valuation for some time may be pleasantly surprised to see what they could achieve in this buoyant market, and we would be happy to help.”
If you own a commercial property that you would consider leasing or selling and would like to know what it could achieve on the open market, please contact our Commercial team below: