Shortage of grade-A units takes big toll

LACK of large grade-A industrial space in Wales is holding back investment with overall take-up in 2025 down on a year earlier, suggests new research from Knight Frank.

- SION BARRY

Industrial units of more than 50,000sq ft, saw a take-up of 675,000sq ft in the final quarter (Q4) of last year.

‘This was 250,000sq ft higher than Q3, but down considerably on the same period in 2024.

‘These figures comprise two lettings and three sales, including 165,000sq ft at Queensway Way Meadows, Newport and 200,000sq ft on Swansea Enterprise Park.

‘The activity pushed take-up for 2025 to just over 1.7 million sq ft, which was significantly down on the 2.7 million recorded in 2024.

Neil Francis, head of the Knight Frank Wales logistics and industrial team based in Cardiff, said: “This drop from last year is at least partly accounted for by there being no available grade-A space in south Wales of this size throughout last year.”

Availability in South Wales stood at 3.7 million sq ft at the end of 2025.