Worcestershire Commercial Property Market Report 2020

In an invite only event at Sixways Stadium, Worcestershire’s largest independent Commercial Property Consultants GJS Dillon launched their brand-new Worcestershire Commercial Property Market Report 2020. The Herefordshire & Worcestershire Chamber of Commerce Press team were delighted to be in attendance

The report looks in detail at Worcestershire’s six sub-markets for both office and industrial property. The current state of the county’s commercial property market is performing well however the opportunities are limited due to lack of space available.

A shortage of units, together with high demand for space will force commercial property prices to increase within the next 12 months, the 2020 report says.

Andrew Lewis, GJS Dillon Associate Director, who also authored the new report, says: “The growth of Worcestershire’s office market is being stifled by the lack of new developments for the SME sector.”

Take-up of office space in 2019 was down on the previous year. However, as illustrated by the low vacancy rates shown in the report, this is due to lack of supply rather than demand. In contrast, demand for industrial property rose by 11% from 1,220,767 sq ft in 2018 to 1,366,902 in 2019.

Andrew Lewis added: “Popularity within the county’s industrial market is due to Worcestershire’s great location and the strong performance of the manufacturing sector. This has seen success at well-known landmark developments such as Worcester Six and also the introduction of smaller industrial schemes across the county.’

The County is still attracting new occupiers due to its central location, John Dillon, GJS Dillon Managing Director, said: “The county is attracting new occupiers and those established here are continuing to grow, reaping the rewards from being centrally located within the country and having excellent communication links.”

In order for businesses to grow it is the view of Andrew Lewis that stability in 2020 is needed in order to provide a springboard for business growth, however he added that the county’s infrastructure plays a key role in business growth: “The land around junctions 4 to 8 of the M5 and junctions 1 and 3 of the M42 provides a ready-made infrastructure network around which to base industrial and business parks.”

Another interesting take-away from the presentation was that our city centres, specifically the upper floors of retail units, provide an exciting opportunity. The report specifically details the opportunity relating to the high street within Worcester, saying: “As the High Street struggles, Worcester needs to address the shifting geographical location of its office market in order to attract office workers to the city centre. This can be addressed by looking at the conversion of the upper floors above retail accommodation, parts of which are currently underutilised.”

John Dillon adds: “Bringing people back to our city centres is vital. However, a number of issues need to be addressed within our town centres including access to car parking.”

GJS Dillon’s Worcestershire Commercial Property Market Report 2020 can be found here.

To discuss the report further or to find out more about commercial property for sale or let in Worcestershire contact Andrew Lewis on 019065 676169 or email andrewlewis@gjsdillon.co.uk or see www.gjsdillon.co.uk.

Photo caption: from left to right John Dillon, Managing Director at GJS Dillon, Rahim Bas, PR Executive at Herefordshire & Worcestershire Chamber of Commerce, Andrew Lewis, Associate Director, GJS Dillon