According to latest figures from Colliers International supply of new and refurbished accommodation has slipped to around one year in London and as low as six months in the South East and West Midlands.
Logistics expert Tim Davies, head of Colliers International’s Bristol office, said soaring demand for quality accommodation around the capital had promoted more businesses to look further down the M4.
“The faster than expected recovery has placed a major strain on supply of quality accommodation in the greater London, Birmingham and Manchester regions.
“This will inevitably shift attention to Avonmouth and Severnside, which given its location beside the M4/M5 interchange, could be as handy for firms needing Midlands connections as it is for businesses in the capital.”
“Manufacturing performance is much improved – based on the sharp increase in domestic spending. Export levels have also improved and fuelled demand for additional space.”
Farm Foods has just announced it is to open a 175,000 sq ft distribution centre on Central Park – alongside the Chep pallet premises. Other major occupiers include Morrisons, Tesco, Asda and the Co-op.
But commercial property specialists Colliers International say it’s not just the big, bigger and bigger again deals which are making the news.
Colliers International’s Danielle Hatton has just signed off a deal at Unit 5 Portbury Road in Avonmouth, where a major UK charity has just taken over a 5,400 sq ft permises.
She said: “Smaller units are still available in Avonmouth – we are seeing considerable activity in the smaller size bracket alongside the major movements in large sheds.
“We are also finding that tenants are demanding better quality space these days – prompting more owners and landlords to take the plunge and refurbish their remaining secondary stock.”