Stiles Harold Williams (SHW) has released its Q3 2025 Industrial & Logistics Focus, asserting that 2025 has continued to be a challenging year for both occupiers and landlords.
SHW’s report stated that this is due to global uncertainty and economic woes holding back occupier decisions, with property relocation or expansion decision often taking 12 month or more from concept to reality.
In the Shoreham, Worthing, Rustington, Lewes, Newhaven, Hastings, Bognor, Redhill and Eastbourne areas, rents have remained broadly level.
In Croydon, however, rental levels have ticked up from £21 per ft² in 2024 to £23 per ft² this year.
Senior partner at SHW, Alex Gale, said: “Take up so far this year for the core South London market is at 120,500ft², significantly down on the average over the last 10 years albeit that the second half of the year promises to be a lot better with a number of deals already in solicitors’ hands.”
SHW’s report also stated that new build, Grade A stock includes GLI’s CR1 & CR2 – offering up to 107,770ft² – and Prologis Park Beddington with four units available from 15,000ft² to 46,000ft².
Chancerygate are also on site with their 15 new industrial units ranging from 2,411ft² – 41,645ft². Similarly, Kingston, Richmond & Wimbledon have seen rents jump by £2 per ft² to £23 per ft².
In Sutton, Epsom, Chessington & Leatherhead, rents have lifted from £22.50 to £25 per ft² and take up is almost reaching 2024 levels already this year with 51,250ft² leased and logged demand outstripping supply.
In Burgess Hill & Haywards Heath, rents have increased by £2 per ft² to £16.50. Take up is already at 75% of the total 2024 levels.
Of that supply, new, Grade A stock includes 14 new units at Panattoni Park Burgess Hill. Two units have already been let within the 457,700ft² scheme.
The Crawley and Gatwick area has seen rents increase to £21 per ft² (from £16.95 in 2024). Take up is currently a little slow at around a third of total 2024 levels (currently 106,000ft²), however there has been recent interest in the larger units.
In Brighton & Hove, although take up has been relativity slow to date this year, rents have jumped slightly to £17 per ft².
Availability remains very low compared to demand. Panattoni Park Brighton is available to let with units from 19,500ft² within the 267,000ft² development and good interest being shown.
Further across East Sussex where landlords such as Westcott Leach are bringing forward more new development, leasing is active, for example at Swallow Enterprise Park near Hailsham, which is now into Phase 5.
SHW’s partner and head of agency, Tim Hardwicke, said: “Across the region, on the whole, there has been an uptick in availability of industrial and logistics space, providing more options for occupiers to consider, and it is now an occupiers’ market.
“As a result, there has been pressure on rents in some locations, and we have seen more incentive/longer rent frees given as the market focuses on landing the few active occupiers in the market.
“That being said, deals are happening, and rental uplifts have been recorded in some regions across the South East.”
