My recent article focussed on the innovation and collaboration aspects of COVID-19 and highlighted where there might be some successes or ‘wins’ for some players in the real estate sector.
One such ‘win’ leading the charge seems to be in the warehousing sector, or industrial ‘sheds’ as we know and love them. There appears to be no slowing down or pause button pressed for additional warehousing space – particularly in the Eastern region. It has been identified as one of, if not the main, growth sectors keeping the industrial property sector moving up the league tables!
As the high street continues to decline, it almost rubs salt in the wounds of those retailers that were forced to close their doors during lockdown that they need additional space to store stock – an expense they could well do without! Couple that with the surge in internet shopping, which now firmly challenges the traditional shopping experience, and the organic demand for warehousing to accommodate home shopping creates a home run for the sheds. The manufacturing, logistics and distribution sectors are playing their part as they too are experiencing an upsurge for space as a direct result of COVID-19, whether it is for increased production of components, COVID related equipment or businesses responding to a new way of working.
Is it a short-term triumph while the office and retail sectors recover and reinvent – or will the industrial ‘sheds’ revolution lead the way?