Significant parts of South London and Surrey areas have become an ‘industrial desert’, according to Property Consultants Stiles Harold Williams.
New research has found vacancy levels of only 3.75% in the Croydon and Mitcham areas and similar rates of chronic shortage across other parts of South London and Surrey.
Availability levels for the region stand at circa 640,000 sqft with a take up of 670,000 sqft being calculated for the year ending 2016 meaning that there is less than a year’s supply for the area, a record low.
Alex Gale, Head of Business Space for SHW South London / Surrey region said: “For the prospective occupier it is a dire situation with many areas having little or no supply. For new or start-up businesses we currently have no premises under 1,000 sqft on our books whilst at the other end of the size range, the largest available unit is only 25,000 sqft.
“The pressure of a buoyant economy, companies moving out of central London due to sites being redeveloped for residential and no new land being released for industrial redevelopment has pushed stock availability to a record low and rents to a record high. There seems to be no end to this which will surely end in companies being forced out of the area.”