A recent report by Knight Frank’s research arm, Logic Industrial Property makes interesting reading for business-owners in West Yorkshire.
The region’s vacancy rate is 6.1% compared with 9.8% in South Yorkshire and 9.7% in the North East, and the amount of take-up of new leases is at a 3-year high, surpassing annual totals in 2022 and 2023 already. With 3 months left to go, 2024 could be a stellar year.
One such transaction boosting the totals was the rental of the former Hallmark Cards offices on Dawson Lane, Bradford. The 315,000 sq ft facility was leased to air conditioning manufacturer, Airedale. The other major lease in our area this year was Joda‘s take-up of 73,000 sq ft on Future’s Way, Bradford. Well-known in our area, Joda are logistics experts focusing on transport and warehousing.
Cumulatively, this increased interest has affected the region’s rents, which have grown by 38% over the past 3 years.
And this year, what has been interesting is the make-up of the leases:
- Distribution 27%
- Manufacturing 53%
- Retail 14%
- Other 6%.
And why have we seen changes? Occupier confidence has increased, the change of government has offered a level of stability, accompanied by the Bank of England reducing interest rates.
If you’re considering a new lease, a new property purchase or a lease renegotiation, we’re experts in property law. Call Usmaan Ahmed on 01535 613670 or email usmaan.ahmed@awbclaw.co.uk
31 October 2024
Further Reading:
LOGIC: West Yorkshire Property, Q3 2024
The Commercial Lease Explainer: Heads of Terms
The Commercial Lease Explainer: Schedule of Condition