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Some hotspots have seen an uplift of up to 50%, commercial property consultancy GJS Dillon has said.

Jonathan Mountford, a director at the firm, said the demand had affected prices of both new and second hand industrial units.

With demand still strong from the manufacturing, warehousing and distribution sectors, prices look likely to head in the same direction.

“On average, industrial property has increased in value by more than one quarter in the past 24 months. However, in some locations high demand has driven these values much higher. As long as there is a shortage of industrial property in the county, this trend is set to continue,” said Mr Mountford.

“It is vital that owners and occupiers of industrial properties are aware of their true market and reinstatement values, as these can have real impacts on sales, acquisition and investment strategies, and on insurance premiums, for both re-building and business interruption policies.

“Around four in five commercial properties are up to 60% underinsured. This means that the insurance company would only pay out 40% of the building costs in the event of a total loss of the premises, a shortfall which most businesses would not survive. We recommend annual valuations, so that owners and occupiers are fully aware of the potential consequences.”