The long-running lack of supply of industrial stock in Reading is finally being addressed, according to a new report by Haslams Chartered Surveyors.
Haslams’ Reading Industrial Market report for 2019 paints an optimistic picture for the market this year after a period of ‘paralysis’ while decisions were deferred during 2019 amid Brexit uncertainty.
The report calls 2019 ‘a quagmire of a year bouncing from one parliamentary stalemate to another’.
But major schemes coming through include 135,000 sq ft Theale Logistics Park (pictured), 45,000 sq ft Total Park (also in Theale), 162,000 sq ft Reading International Logistics Park near J11 and a further scheme in Theale in which First Panattoni is expected to submit plans for 190,000 sq ft.
There are also schemes at Suttons Business Park and in Woodley.
Haslams partner Neil Seager told Thames Tap: “We are talking about three or four schemes coming on stream in the next 18 months. That’s quite a lot but the market does need it because a lot of the (existing) stock is quite tired at the moment.”
He said there has been a significant upturn in activity in the last two weeks compared to 2019 which he said had been more difficult than many previous years.
He added: “Last year was possibly more difficult than most years because literally nothing happened. Even in a difficult market you get forced sales but, for six months last year nothing happened.”
One 127,000 sq ft scheme in Island Road, completed in 2017, has yet to be let but Mr Seager said the end of the A33 road works may help make it more attractive in 2020.
The report also highlights a lack of understanding in the Thames Valley of what modern industrial development can bring to an area including broadening the range of employment opportunities. It also goes on to highlight the increasing importance of utilities.
But industrial is expected to remain a safe property haven for investors and, given the problems of the retail market, the report suggests the possibility of retail units being repurposed for warehouses.
The report is available by emailing Tanya Le Sueur at firstname.lastname@example.org.
Haslams has now compiled six annual reports, dating back to 2014 and is considering publishing an overview of the market, based on its reports over that period.
© Thames Valley Property No 194 (tvproperty.co.uk)