Spotlight on the commercial property market in the South West

High street woes offset by high demand for industrial and warehouse units in the South West

Act fast if you’re looking for warehouse and industrial units in the south west as demand is high and stock is running low.

Agents are on the look-out for more sites to meet growing demand for industrial units and land to rent and buy. Office units are also moving well in the area with supply proving challenging. Retail space on the high streets is mirroring national trends with plenty of vacant shops and ongoing anger over unfair business rates.

The commercial market is quite buoyant for industrial land and buildings with a two acre site under offer in a matter of days, according to Tom Blake, of Jefferys.

He adds: “There seems to be a plentiful supply of offices with steady demand at the current time. Generally speaking we are very busy with sales and lease terms. Landlords need to offer attractive packages to make the market be interested.”

Paul Knight of RMW Knight says: “The market for offices in mid Somerset has been challenging over the last 6-12 months with supply continuing to exceed demand for freehold and leasehold buildings. Permitted development rights for office to residential conversions has mopped up some excess supply, but rental values have remained flat.

Retail has, until late Spring 2019, remained reasonably buoyant in the majority of local towns but, in line with national trends, there is greater availability in most local High Streets than has been the case for the last few years. Occupier demand has remained strong from industrial and warehouse occupiers, especially for freeholds. We have been frustrated by a lack of availability.”

With on-going Brexit uncertainties and General Election rumblings, Paul adds: “Although investor demand across all sectors has been steady, we sense that there is a more cautious sentiment prevailing with concerns about increased market volatility until there is greater clarity as to what the ultimate Brexit looks like, and whether a general election results in another hung parliament.

Well-let, well-secured investments continue to attract interest, but secondary stock is proving harder to place.”

Analysis of Boxpod data reflects the activity across the region. Comparing enquiries and property views to last year, Yeovil and Taunton have had increases in property views. A stand out figure was a 500% growth in enquiries for units in Glastonbury.

Look for commercial property to let in Yeovil.

Look for commercial property to let in Taunton.

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