News

Demand for both industrial and office space increased significantly in Worcestershire in 2014, according to according to one of the county’s leading commercial property agents.

John Dillon, partner at commercial property consultancy GJS Dillon LLP, which has offices in Worcester and Bromsgrove, says that the Worcestershire commercial property market has undergone a shift change in the past 15 months.

He says: “At the start of 2014, there was a shortage of occupiers for the available stock, now there is an increasing shortage of stock for occupiers. We have got clients on our books waiting for space to become free across all of the county from Bromsgrove, Droitwich and Redditch in the north of the county down to Malvern and Worcester.”

Worcestershire experienced a 25% increase in take up of industrial and warehouse space from 4,071,106 sq ft in 2013 to 5,067,222 sq ft in 2014, while take up of office space went up by nearly 20% from 356,293 sq ft in 2013 to 425,759 sq ft last year. (Figures supplied by CoStar).

Mr Dillon says: “2015 has started with the same strong market with high demand across the county for industrial and office properties. In fact, with available industrial stock now reduced to 3,709,172 sq ft at the end of 2014, there is a looming shortage of industrial and warehouse units, particularly freehold properties, as owner occupiers continue to be attracted by low interest rates and the increasing willingness of the banks to lend. As a consequence of this, prices are increasing.

“We are working closely with developers and landlords to bring new development opportunities, and new and refurbished properties to the market, and the allocation of land for development at Worcester Technology Park will undoubtedly help in the long run, however there is an immediate short and medium term demand that needs to be satisfied.”

According to Mr Dillon, the significant upwards shift in the county’s property market is no surprise. He says: “Recent figures published by the Office of National Statistics showed that Worcestershire’s economy was the third highest performing in England between 2008 and 2013, underscoring what we knew from our work on the ground, that the county was doing well, and was positioned to do even better.

The significant upturn in demand is being driven by a stronger economy nationally and locally, combined with Worcestershire’s unchanging basic attributes for being a first class location for businesses, such as excellent communications, through easy access to the M5, M42, and M40, and to Birmingham, London and international airports; a flexible workforce; significant industry clusters; key lifestyle factors, and useful assistance from the LEP, County Council and other public sector bodies.”

With offices in Worcester and Bromsgrove, GJS Dillon LLP is a firm of Chartered Surveyors which offers a comprehensive commercial property service, and unrivalled geographical coverage, throughout Worcestershire and along the M5 and A38 corridors. GJS Dillon can be contacted by telephone on either tel. 01527 872525 or tel. 01905 28684 or by email: info@gjsdillon.co.uk.