The industrial market still continues to be performing well although statistically it is not as strong as it has been in previous years. The supply is up from last year’s 370,000 sq ft to approximately 470,000 sq ft. However, much of this will be the new developments coming on at Tyson Park which totals approximately 115,000 sq ft. Take-up fell last year down to 240,000 sq ft, which is below the 5 year average of approximately 290,000 sq ft.
The reduction in take take-up figures can probably be blamed on two slightly conflicting factors. Firstly, obviously the ongoing Brexit saga, which has meant that there have been periods when activity would normally be high, but instead the market stalled. There is also a factor of the lack of available space in the market. Of the supply figures there is approximately 120,000 sq ft under offer, and if you remove Tyson Park from these statistics then there is only 1 building of over 30,000 sq ft currently available and only 2 further units of above 20,000 sq ft available.
We still remain optimistic for the year, and we believe that rental levels will continue to push forward. Much of the space coming on will be of higher quality which has not been seen for several years in Basingstoke. This can be seen by the success of Logistics City, where 2 of the 3 units have been taken up almost immediately after completion.
Brian Pickett commented: “At Tyson Park we have seen some strong interest in the buildings even before their completion, which reflects the underlying levels of demand and the quality of the product”.
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Contact for further information:
Baker Davidson Thomas
Telephone: 01256 840 777
31st January 2020