National Investment Market Overview
Offices
Overview
Many of the trends we have discussed over the past year (subdued transaction volumes, occupier flight to quality and market bifurcation between prime and secondary assets) have continued through 2025 and look set to remain consistent themes within the regional office market. Investor demand remains focused on the ‘prime’ market, characterised by Grade A, ESG-compliant buildings in strong micro locations. This market continues to experience strong occupier demand, critically low vacancy rates, and rental growth.
Retail Warehouse
Overview
UK retail parks’ annual market value growth is estimated to have reached 1.4% in 2024, with a further 3.0% growth expected in 2025 (Global Data). Positive year-on-year (YoY) estimates suggest the sector remains as popular as ever with the UK consumer. In September, retail sales values (exc fuel) were up +4.0%, with volumes ahead by +2.3%, this was the best monthly value performance since the inflation-fuelled days of 2023. GfK’s recently released figures also show a marginal positive uptick in underlying consumer confidence.
Industrial
Overview
The UK industrial and logistics sector continues to outperform other commercial real-estate classes in 2025. Strong fundamentals such as e-commerce growth, supply-chain resilience, and ESG-driven upgrades are sustaining both occupier and investor confidence. Vacancy rates have stabilised at around 7.3%, and prime rents are still rising, although at a slower pace than during the post-pandemic surge.