Manchester insight: Industrial focus

Our latest research on Manchester’s industrial sector, focuses on the region’s economic strength, the latest property trends, and data and insights from Cluttons experts on policy changes that will affect landlords and occupiers.

Greater Manchester is the largest industrial hub in the North of England. This is not only due to the legacy of Manchester’s pivotal role in the industrial revolution, or its enviable location and transport links, but also because the region has positioned itself as a leader in modern manufacturing and engineering, as well as technology – it is the UK’s biggest tech hub outside London.

The city also benefits from its close links to top-class universities in and around the region. In the property market, industrial property strongly outperformed other commercial asset classes during the pandemic, as online shopping underpinned renewed demand for last-mile logistics. The sector has continued to perform robustly since then (page 05), with particular interest from investors in assets which offer the opportunity for rental growth.

In recent years the UK economic landscape has been relatively challenging, but we also examine Manchester’s fundamentals in more detail, as the powers devolved to the Mayor and the GMCA under devolution means there is an economic ‘microclimate’ here.

The policy landscape for commercial property is also changing, with a Business Rates revaluation coming up in April next year which may affect the industrial sector more than other commercial assets, as we discuss on page 14.

There is also a consultation on upwards only rent reviews and a review into the Landlord and Tenant Act, which we explore in more detail on page 11.

We are also pleased to include commentary from some key investors in the Manchester industrial sector. Read the interviews with Tim Clarke from Marchmont Investment Management on page 13 and Mark Kelly, from Argo Asset Management on page 08.

Cluttons have a sizeable team based in Manchester, and we work with a range of clients providing strategic advice to investors, developers and landlords maximise the value of their property assets.

Download a copy of the full report below.