Take-up of Grade A ‘big box’ space reached 22.6m sq ft in 2025, up 5.6% year-on-year, according to new data from Avison Young.

Full year take-up activity was the strongest it has been since 2022, and the completion of approximately 11m sq ft of deals in H2 2025 marked the strongest H2 in three years. The East Midlands remained the most active region in the market, accounting for 31% of total take-up in 2025.

In Q4 2025, third-party logistics operators drove demand, accounting for 58% of space on the market. Total available space increased by 2% quarter-on-quarter, reaching 56.4m sq ft in Q4.

Big Box investment activity totalled £1.65bn in 2025, down 15% year-on-year and 42% below the five-year average. However, investment volumes reached £562m in Q4, up 32% on the previous quarter.

David Willmer,  principal and managing director, industrial and logistics at Avison Young, said: “The big box market demonstrated notable resilience throughout 2025. Despite a year shaped by geopolitical uncertainty, tariffs, persistent inflationary pressures and a delayed UK Budget, the sector delivered its strongest year of take-up since 2022, totalling just shy of 23m sq ft.

“The East Midlands remained a key strategic location for occupiers, accounting for 31% of total take-up, and 3PL operators were the dominant driver of activity in the market, representing 41% of annual take-up as supply chain optimisation and long-term efficiency continued to shape occupier decision-making.

“Although there is a substantial supply of industrial stock, it is heavily weighted towards smaller unit sizes, which continues to limit options for occupiers with larger space requirements. We expect competition for larger units, particularly in prime locations, to remain strong in 2026 which could result in rental uplifts where supply is constrained. Overall, the fundamentals of the UK big box market remain strong and we are confident that activity in 2026 will continue to build on the performance in 2025.”