REAL-ESTATE DATA CONFIRMS STRONG RESHORING TREND
REAL-ESTATE DATA CONFIRMS STRONG RESHORING TREND
Data from European commercial property company BNP Paribas Real Estate reveals that the industrial and logistics leasing market has been met with a surge of activity from manufacturing occupiers as they seek to ‘ reshore ’ activity back to Britain , following the impact of Brexit and ongoing supply chain disruption . It shows that , in 2022 , take-up of units of 100,000sqft and above has increased by 53 % on 2021 levels . Logistics providers were the most active sector , with a 35 % year-onyear increase .
Vanessa Hale , Head of Research and Insights at BNP Paribas Real Estate , said : “ There are a number of driving factors behind reshoring , including inflation , Brexit , the pandemic , the Ukraine war and the blockage of the Suez canal , all of which have massively impacted supply chains and overheads .
“ As businesses fight harder for space , activity will continue to put pressure on chronically short supply levels .
“ Acute supply-demand imbalances of suitable facilities are likely to continue , especially as rising construction costs weigh heavily on future development pipelines .”
Two-thirds of firms say disruption had changed sourcing policies Some key figures quoted in the paper :
• 67 % of global retailers and manufacturers say that global supply chain disruptions have changed where they source materials and components from .
• 58 % of those who have shifted sourcing say that further relocation
• remains a high priority , or the top priority , for their business .
• 76 % do not expect supply chains to normalise in the next 12 months , following Q3 2022 .
• 37 % plan to change manufacturing locations .
68 February 2023