In 2025, 34% of take-up involved newly built speculative units. Although not a majority, this would be higher if there were more supply of such quality.
Although supply is predominantly second-hand, it is encouraging to see that this market has helped increase the overall take-up level in 2025. We have also seen record rental levels for new-build units.
Jonathan Atherton, Regional Head, Industrial and Logistics
A new record rent for the region was signed upon the completion of Trafford Park 150.
Supply
Compared to twelve months ago, when total available supply was 7.13 million sq ft, overall availability has increased by 16% to 8.3 million sq ft, spread across 40 units. This results in a vacancy rate of 8.47%, up from 7.57% a year earlier, now equivalent to approximately 1.6 years’ worth of supply.
The significant rise in supply is driven by new speculative units entering the market after PC. In 2025, 3.17 million sq ft has been completed, so by the end of the year, out of the 8.3 million available, 47% is new Grade A speculative space; 7% is second-hand Grade A space; 19% is second-hand Grade B space; and 27% is second-hand Grade C space.
By size band, 25 units in the 100,000-200,000 sq ft range, six in the 200,000-300,000 sq ft range, five in the 300,000-400,000 sq ft range, one in the 400,000-500,000 sq ft range, and two over 500,000 sq ft. What the region is experiencing, however, is a distinctly regional supply-and-demand landscape, with sharp variations based on quality and size.
For instance, while most available space consists of new Grade A stock, it is mainly concentrated in the 100,000–200,000 and 200,000–300,000 sq ft size ranges, leaving larger occupier requirements with fewer options and a more competitive market. Consequently, take-up has primarily been driven by the second-hand market, which offers greater choice, whereas those able to secure new, top-tier assets are seeing record rents being set.
Take-up
Despite ongoing economic and political uncertainties, where decision-making is taking longer or being delayed, the 2025 take-up in the North West totals 3.8 million sq ft, which is 24% higher than in 2024 and 6% above the pre-pandemic, long-term average (2007–2019).
The main driver of this growth has been the substantial increase in second-hand space — including refurbished Grade A units or second-hand Grade B or Grade C units — which reached 2.15 million sq ft, representing 56% of activity. This is a 69% increase compared to last year’s 1.3 million sq ft. That said, top-tier-quality buildings, whether new (Spec) or refurbished Grade A, remain the most sought after due to modern occupier and operational needs, which explains why 34% of the take-up involved newly built spec units. Although not a majority, the share would be higher if there were currently more supply of such quality, particularly in core or prime markets.
Another factor contributing to a significant increase in take-up in 2025 has been the large amount of space leased within smaller bands, compared to long-term averages. In 2025, there were 19 transactions in the 100,000–200,000 sq ft band, versus the long-term average (2007–2019) of 11. However, when comparing this size band (100,000–200,000 sq ft) to others, it shows outperformance, as there are usually two deals in the 200,000–300,000 sq ft range; three in the 300,000–400,000 sq ft range; two in the 400,000–500,000 sq ft range; and one over 500,000 sq ft. In 2025, all these other size bands fell below their long-term averages in deal count.
In 2025, 41% of take-up was in manufacturing, emphasising that domestic manufacturing needs are rising amid geopolitical tensions and that occupiers' decisions to relocate their supply chains to nearshore areas are becoming more urgent. Other significant sectors included wholesale retailers (17%) and third-party logistics providers (3PLs; 12%).
Development pipeline
Looking ahead, it is unlikely that the supply imbalance will notably improve, as only four speculative units, totalling 613,811 sq ft, are currently under construction across the North West. An additional 117,057 sq ft is scheduled to start on site in 2026, but once again, it falls within the 100,000–200,000 sq ft size range, where most of the existing supply is located.
Of the units currently under construction, three fall within the 100,000–200,000 sq ft size bracket, further increasing supply in this category in the short to medium term. The remaining unit is in the 200,000–300,000 sq ft size bracket. Ultimately, the combination of existing stock, whether new or second-hand, and the current pipeline seems poised to leave larger, bespoke occupier requirements unmet in the North West — unless they opt for a build-to-suit solution, which has not typically been a feature of the North West market.