Scroll to the top

Back to top

More websites
2023 occupational market at a glance (CBRE)
UK take-up

0.1m sq ft

UK vacancy


The modern logistics market is still in its relative infancy. Powerful long-term structural change underpins demand for our assets.

During the Covid-19 pandemic, the extent to which logistics is a critical element of the UK’s infrastructure became increasingly evident. These modern, large-scale distribution assets continue to play an integral role in supporting many industries and underpinning the UK’s economic output. 

Our strategy is aligned with three long-term structural trends, including the continued growth in e-commerce sales; occupiers’ need to optimise operational efficiencies to be fit for the future; and the drive for ESG performance. These trends are expected to increase and sustain demand for modern logistics real estate in prime locations in the UK and are set against constrained supply.

Three long-term structural trends:

1. E-commerce

Consumers want faster, more flexible and more convenient ways to make purchases, which has driven strong growth in e-commerce over the past decade and beyond.

Logistics real estate plays a fundamental role in delivering online orders to consumers and managing returns rapidly and efficiently.

Online sales account for 27% of  retail sales (2019: 19%) (Source: ONS)

2. Supply chain resilience and optimisation

Global supply chains continue to face intense pressure even as Covid-19 related challenges subside. Companies continue to review how they operate and adjust their supply chain accordingly. Additional resilience is now a priority alongside optimising for efficiency, productivity, and cost. Occupiers continue to pursue a variety of solutions including:

  • consolidating into larger, often purpose-built distribution centres;
    deploying automation and technology at scale;
  • holding more inventory onshore or closer to end users; and
  • outsourcing supply chain functions to specialists.

Occupier resilience strategies:

29% - sourcing from multiple locations

22% - near-shoring production

18% - near-sourcing suppliers

18% - setting up production in multiple locations (Source:TI)

3. ESG

Organisations continue to work towards being more sustainable, reducing their environmental impact, cutting energy use, and increasing employee and community engagement.

Modern logistics units have enhanced sustainability features, better staff facilities and are often designed with green space, biodiversity, and outdoor amenities in mind.

90% of logistics occupiers have a net zero carbon target (Source: CBRE)

Long-term positive structural drivers make logistics real estate an attractive and growing sector.

Colin Godfrey - CEO

Our portfolio
Learn more about our portfolio of logistics assets and our development land-platform.
Our strategy
See how we maximise the opportunities our market presents