Artisan sector features in Industrial and Logistics Agency trends

Industrial impact responding to lifestyle trends, how we shop and buy

The continued shift to online sales and last-mile deliveries has been commented on many times, with industrial and production areas performing well. The strong occupier demand has been particularly apparent in Strettons’ core geographic areas of east and north London, and has come from a range of businesses, most notably the creative, film and artisan food sectors. Following a few years of unprecedented occupier demand, production and warehouse spaces are in short supply.

Trends and Deals Done 

On the evidence of 71 deals undertaken, Strettons found that food and beverage companies are amongst the most active tenant groups for industrial properties and warehouses in London. We have steady activity from creative/artisan applicants from the following categories:

• Brewers, coffee roasters, soft drink manufacturers and food suppliers
• Joiners and manufacturers
• Photographers and recording studio operators
• Dark kitchens and delivery only restaurants

Several significant lettings Strettons has transacted on over recent months illustrate the steep growth of these sectors.

Taking Walthamstow as an example, The Greater Good Brewing Company Limited initially took space totalling 7,736 sq ft in two units at Uplands E17, a location in the heart of the town centre. Finding the up and coming business park and its artisan community eminently suitable for their growing business, in just over a year, the company has completed on another two units totalling 13,204 sq ft, bringing their growth in a year up by 170%.

Hackney Gelato, creators of bespoke and off-the-shelf gelato and sorbetto, has also chosen Uplands E17 as a suitable home for its expanding business. Formerly located in a 1,600 sq ft unit in Regent Studios, the firm moved into a unit totalling 7,128 sq ft in 2021, a growth of 445%. They have since further expanded in Uplands Business Park in 2024.

Popular locations

We have seen significant interest in Walthamstow, Leyton and the surrounding areas for industrial and logistic premises. The area had benefitted from being appointed the official London Borough of Culture in 2019 and has developed a strong reputation as a place where independent businesses can thrive. Leyton Industrial Village and Uplands E17 are homes to many creative companies who have started their journey there or chosen the site for their expansion.

The Old Truman Brewery E1, now heralded as east London’s arts and media quarter, is home to over 700 independent shops, galleries, markets and restaurants. With the regeneration of the site creating an eclectic mix of business and leisure, the area continues to attract entrepreneurs and artisans.

Hackney Brewery, founded in 2011 in railway arches in Hackney, is marking its 10th anniversary with a move to a new 7,500 sq ft brewery and taproom in Walthamstow. The new premises on Blackhorse Road will be called ‘High Hill’ and is expected to launch in June 2021.

Microbreweries, both production and taprooms, especially have seen a steady rise in recent years. There are now whole areas dedicated to them such as the Blackhorse Beer Mile, Leytonstone Beer Mile and the Bermondsey Beer Mile.

Supply

After years of demand for production and distribution facilities, developers acknowledged this gap for industrial space and are aiming to deliver future phases of their schemes in east London.

If you have any property requirements to discuss, please get in touch with the team at industrial@strettons.co.uk.