Trebor Developments predicts substantial industrial premises shortfall across The Midlands
04 February 2015
Trebor Developments LLP, Insider Commercial Developer of the Year, have warned of major shortages of quality industrial premises across the West and East Midlands unless further schemes are brought forward.
Trebor, with their partners Hortons’ Estate have developed Hollymoor Point in Rubery, where they have one remaining plot for up to 70,000 sq ft of warehouse accommodation and have seen a steady stream of enquiries.
Working with retained agents CBRE, JLL and Harris Lamb, Trebor/Hortons’ have analysed existing supply and forecasts indicate less than 5 month’s total supply of industrial premises across the Midlands, based on average monthly take up. A few speculative schemes will be delivered during 2015, but unlikely to be more than 6 sites across the Midlands and most are under offer shortly after construction on site commences, with rents at £6.25 per sq ft and above now being achieved and few incentives.
Bob Tattrie, Managing Partner of Trebor Developments, commented on behalf of Trebor/Hortons’:
Following over 6 years of almost no new speculative industrial development, the market is just running out of good quality industrial accommodation, against a background of the Midlands showing one of the strongest UK’s growth in employment improvement and manufacturing outputs.” “This will lead to higher costs for accommodation, given the limited supply and growing demand. We would urge local authorities to work with developers such as Trebor/Hortons’ to release land in order to increase supply of industrial premises from 2016 onwards. We have the funds, expertise and resources available to significantly increase the supply of industrial development.
Bob Tattrie predicts Hollymoor Point site will soon be under offer on a design to suit basis, given the developer’s fast track approach to development implementation and lack of competing sites which are prepared and ready to go.
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