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In February, this year we launched the Worcestershire Commercial Property Market Report 2025, in partnership with Worcestershire Local Enterprise Partnership (WLEP).

The report identifies key trends in both the office and industrial markets and provides an in-depth analysis of each of the regional sub-markets. Below is a snapshot of the key sub-market trends and insights into the Worcestershire Commercial Property Market for 2025.

This year’s report was dominated by the low office and industrial take-up figures, for most of the Worcestershire sub-markets (seeing the lowest take-up levels since 2009). This is not entirely attributable to lack of stock but more to the wider economic picture.

Despite this, some sub-markets shone throughout the year. Bromsgrove continues to attract demand, especially for SME office blocks, making it an appealing market for investors. Bromsgrove was the only Worcestershire office submarket to exceed its 10-year average, with take-up reaching 50,000 sq. ft in 2024.

With solid capital values and a low vacancy rate, 2025 presents a strong opportunity for property disposals within the Bromsgrove district.

New developments with much needed high quality office space, such as The Old Court and The Piano Building, will drive rental growth and investment into Kidderminster, reinforcing Wyre Forest’s position as a growing office market.

Worcester’s office market is adapting to evolving business needs, balancing demand between city centre and out-of-town locations, offering space for all markets for 2025 and beyond.

The medium sized office market is in demand and further new-build opportunities, especially for SME occupiers, will be essential to maintaining momentum and capitalizing on sub-markets, such as the Malvern Hills.

The Malvern Hills industrial market continues to perform strongly, driven by improved accessibility and local authority support. Take-up exceeded the 10-year average for the fourth consecutive year, with key lettings at Indurent Park Broomhall contributing significantly. The total of 12 recorded transactions in 2024 surpassed the long-term average of 8.1.

Redditch industrial market also remains strong, with a low vacancy rate of 4.3% reflecting a lack of available space rather than a drop in demand. The area has opportunities to offer SME space, alongside major new developments, such as Redditch Gateway and the Greenlight scheme. This positions the market well to accommodate businesses of all sizes.

Wychavon’s industrial market outperformed economic trends in 2024, nearly doubling the county’s average number of transactions, reinforcing its position as a key industrial hub.

Looking ahead

Economic factors, including increased employer costs, may slow decision-making for larger occupiers, but this potentially opens opportunities in the smaller mid-box market.

Since the beginning of 2025, GJS Dillon have received an uptake in enquiries, which shows confidence in the property market. Some of the growing needs of the market are being met with new developments in Bromsgrove and Kidderminster, which again provides positivity for 2025.

GJS Dillon are excited to be continue partnering with the local Council, County Council and WLEP on these projects.  This not only brings economic growth to these areas but also helps to facilitate further business growth throughout Worcestershire.

For more information, please download a free copy of the Worcestershire Commercial Property Market Report 2025 here.

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