Mon, 14/08/2023 - 12:00
· 1 min read

Industrial & Logistics Update Q2 2023

Our Industrial & Logistics Insider report provides expert comment on the latest occupier and investment trends, along with quarterly data and analysis.

Key findings from our Q2 2023 report indicate that:

  • Prime yields have flattened in London and the South East, which remained at the Q1 2023 rate of 4.50%.
  • The average UK industrial total return for 6 months up until the end of June 2023 reached 2.8%, which was largely driven by the sector’s 7.6% rental growth (MSCI).
  • There was £3.1 billion in UK industrial investment volume across H1 2023. Despite being a 63% decrease from H1 2022 it represents 5% above the pre-Covid average.
  • Foreign investment into UK Industrial & Logistics has grown as a proportion of sales, as US funds continue to dominate, most notably Blackstone.
  • Take-up of industrial property over 100,000 sq ft reached 4.6m in Q2, which brings H1 to 11.4m. This represents a 52% decrease year-on-year.
  • Subleasing opportunities for big box spaces increased to 5.3m sq ft. Supply to the market increased to 34m in total, however this is mostly made up of second-hand units. Construction of new units has slowed but is forecast to  increase in 2024-2025.
  • The manufacturing sector has had a strong quarter with take up from a diverse range of companies, most notably from the automotive industry.

To read more, download the full report below.


Our research reports provide a unique insight into the real estate industry for investors, developers and property managers. Enter your email below and we’ll send a download link to your inbox.

Industrial & Logistics Update Q2 2023