Worcestershire’s key commercial land being lost to residential projects, says GJS Dillon
Business growth in Worcestershire is currently being stifled by a lack of quality accommodation, according to a new report from Droitwich-based GJS Dillon.
Although the county’s commercial property market performed better than expected in 2023, with office space take-up rising 21 per cent, the industrial market has stagnated as demand far outstrips supply.
John Dillon said: “The vast majority of businesses in Worcestershire are SMEs employing five to 20 people, and developers are not building property that’s suitable for that market.
“If that doesn’t change, the market will just deliver big warehouses and this conundrum is stopping businesses from growing.
Hear the latest insights from property experts on The Business Magazine’s new podcast
“The other major obstacle to business growth is we’ve lost a lot of key employment sites to residential development. We need to take back control.”
The industrial market saw take-up of 1,103,500 sq ft in 2023 – only 8,318 sq ft more than in the previous year.
Meanwhile, office rents in Worcester have broken the £20 per sq ft barrier for the first time ever at the Vinegar Works.
The report from GJS Dillon is based on figures from CoStar and is published in partnership with Worcestershire Local Enterprise Partnership.
It was launched at Sixways alongside a panel discussion chaired by Rory McAllister.
He was joined by John Dillon, managing director of GJS Dillon; Gerard Ludlow, director at Stoford Developments; Craig Baldwin, area director for real estate in the Midlands and South Wales at Lloyds Bank; and Gary Woodman, CEO of Worcestershire LEP.
Read more - Persimmon Homes begins work on 79-home development in Bewdley
