Online retailer Amazon accounted for around 25% of logistics take-up in the UK in the first eight months of 2016 as it continued to roll out more products with increasingly quicker delivery times, according to a research update from BNP Paribas Real Estate.
The retail sector – particularly online retailing - also drove growth in continental Europe, accounting for about half of the take-up in France and around 35% in Germany.
Overall logistics take-up in Europe has been lower so far this year compared to 2015, but the decline reflects the high volumes reached in 2015, BNP Paribas Real Estate said.
BNP PRE’s prime net effective rent index for the logistics sector expanded by 0.72% in the six months to September, mainly due to increasing headline rents in several submarkets.
Leasing transactions in Grade B premises and in-fill locations have increased, and already account for around 14% of the entire take-up in France.
Supply of Grade A space remains low with limited speculative development and companies increasingly opting for owner-occupier developments, BNP Paribas RE said.
