Welcome to part two of our UK Regional Property: 2025 Mid-Year Market Round-Up. In this edition, we focus on the industrial and logistics property sector — one of the strongest performers in recent years, continuing to evolve and show resilience across UK regional markets in 2025.

Strong Demand for Industrial Property in Regional UK

The industrial sector is no longer in the same hyper growth phase seen during the pandemic-era e-commerce boom. However, regional demand for high-quality industrial space remains robust, particularly in areas like the Midlands, North East, and Yorkshire

According to Cushman & Wakefield, Q1 2025 take-up for UK logistics reached 6.4 million sq ft, which, while below the five-year average, still reflects healthy activity in key regional nodes.

Key Drivers of Regional Industrial Property Demand

E-Commerce Diversification & Last-Mile Delivery

E-commerce may have stabilised, but retailers are investing in last-mile logistics hubs closer to customers. This trend is creating opportunities in smaller towns and fringe urban areas with strong road connections.

Green Warehousing & Energy Efficiency

Occupiers are prioritising energy-efficient industrial properties, including BREEAM-rated and EPC A/B warehouses. Features like solar panels, EV charging points, and modern loading bays are now essential for future-proofed logistics operations.

Reshoring & Supply Chain Realignment

Companies are continuing to reshore manufacturing and restructure supply chains, increasing demand for multi-modal logistics hubs — especially those with access to ports, rail freight terminals, and major motorways.

Regional Hotspots to Watch

East & West Midlands

• Remain the UK’s logistics powerhouses because of its central location and transport connectivity.

 

North West

• Strong demand around Manchester, Warrington, and Liverpool.
• Port of Liverpool’s expansion boosting regional warehousing.

 

Yorkshire & the Humber

• Strategic, and excellent connectivity appeal of Doncaster, Wakefield, and Hull.

 

Looking for industrial or logistics space to let or buy?
NovaLoca lists thousands of industrial properties across the UK — from small depots to large-scale regional distribution hubs. Whether you’re a business seeking urban warehousing or a developer planning your next investment, NovaLoca can help you find the right unit.

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