Demand for logistics space in Q3 2020 was the busiest on record, with around 16m sq ft of space transacted, according to a report from Cushman & Wakefield.
Q3 levels were nearly double the ten-year average for Q3 of 8m sq ft as e-commerce continues to boom.
E-commerce accounts for 40% of all logistics take-up so far this year – an all-time high.
In Yorkshire, logistics in Q3 has reached 800,836 sq ft, taking total take-up for the first three quarters of 2020 to 4.97m sq ft, the highest on record.
Dave Robinson, partner in logistics and industrial at Cushman & Wakefield, said: “Whilst take-up demand has been driven by e-commerce, with Amazon continuing to take significant space, there is a healthy mix of occupier types.
“We see continued demand and with limited new product coming to the market, we expect to see a supply demand imbalance for the foreseeable future. As well as standing stock there is also a lack of deliverable sites coming forward and we expect to see occupiers struggle to satisfy demand in several locations.”
Bruno Berretta, associate director at Cushman & Wakefield, added: “Whilst the pandemic has taken centre stage over the last few months, investors and occupiers are now starting to turn their attention towards Brexit.
“Although the outcome of ongoing negotiations is uncertain, and some sectors such as manufacturing are arguably more vulnerable to a ‘hard’ Brexit than others, the market is about to enter some potentially disruptive months in good shape. Demand has proved resilient and supply is in line with its long-term average and 30% below its post-GFC peak.”