A total of £1bn of industrial real estate transactions are currently under offer, according to Savills.

Logistics centre from the air - pic: Shutterstock / JSVideos

Investment volumes in the UK industrial sector reached £2.38bn in the first half of 2026, down from £3.28bn in H1 2025.

However, the headline figure masks a market that remains active, with more than £1bn of additional industrial transactions moving under offer during Q2, Savills said.

Transaction numbers have remained broadly stable year on year, with 85 deals completing in H1 2026 compared with 80 in H1 2025. While deal count remains below pre-pandemic levels, the average transaction size in H1 stood at £27.8m, up 7% against the 10-year H1 average.

Savills said that investor demand remained concentrated on well-located multi-let industrial estates, and increasingly prime distribution assets.

“The industrial investment market is in stronger health than the headline volume figures might suggest,” said Charlie Foster, director, industrial investment, at Savills.

“While investment volumes were lower during the first half of the year compared with 2025, transaction activity remained relatively stable, average deal size is up on the long-term trends and approximately £1bn of extra stock going under offer during Q2 demonstrates ongoing robust investor appetite for the sector.”

Foster added: “Importantly, the pool of capital targeting the sector is growing. Alongside established industrial investors, we are seeing increasing interest from pension capital and other long-term institutions seeking exposure to the sector’s structural drivers, including constrained grade-A supply, resilient occupier demand and a strengthening rental growth outlook.”

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