News

Freehold industrial warehouses of up to 35,000 sq ft have become manufacturing and distribution businesses’ sweet spot, as one site sells within just 48 hours.

Banks are “very keen” to lend to businesses that will buy and occupy industrial properties, according to GJS Dillon.

And with limited stock on the market, freehold industrial properties between 2,500 sq ft and 35,000 sq ft in Worcestershire are being snapped up quickly by businesses looking to grow.

A 2,400 sq ft freehold industrial unit in Bromsgrove recently sold within just 48 hours for £182,500 in a deal brokered by GJS Dillon. The property was launched to the market on a Monday afternoon, the board went up on Wednesday morning – and an offer was accepted by that afternoon.

And late last year, the agent also agreed to sell a 16,000 sq ft warehouse in Bromsgrove within the first week of marketing.

John Dillon, partner at GJS Dillon, explained: “It is difficult for investors to buy small industrial buildings because they are outbid by owner occupiers.

“The banks are now falling over themselves to lend but these companies cannot find existing premises.

“We need more development land and we need commercial developers to return to the market. We have the ‘lag factor’. There is huge demand now but new stock can only be built in 12 months’ time.”

For Worcestershire-based GJS Dillon, Bromsgrove, Droitwich and Worcester are all particularly ‘hot’ areas in which to invest, with easy access to Birmingham and the motorway network.