Take-up in the Welsh Big Shed market (units over 100,000 sq ft) totalled 231,320 sq ft across two deals in H1 2026, a 20.3% decrease compared to H1 2025.
According to Savills latest Big Shed Briefing, whilst the overall figures are down the key theme emerging across the region is the opportunity to redevelop ageing warehouse stock. With 94% of available warehouse space comprising Grade C units, Savills says there is significant scope to reposition older assets and deliver new speculative development to meet occupier demand for best-in-class space.
Both transactions completed during the first half of the year involved units in the 100,000–200,000 sq ft size bracket, underlining the long-established preference for smaller big box units in Wales. In terms of occupier activity, online retail accounted for 52% of take-up in H1 2026, with manufacturing responsible for the remaining 48%, closely reflecting the historical occupier profile of the Welsh big-box market.
Savills says that total available warehouse space at the end of June reached 2.66 million sq ft, an increase of 7.8% from 2.47 million sq ft at the start of the year. This equates to a vacancy rate of 3.33%, up from 3.09% at the end of 2025. Based on average five-year annual take-up levels, there is currently 1.64 years of available supply in the market.
Currently, there are six available units in the 100,000–200,000 sq ft size range, one unit between 200,000–300,000 sq ft, two units between 300,000–400,000 sq ft and one unit larger than 500,000 sq ft. Savills adds that 528,000 sq ft of space across two units is currently under offer, which could support stronger take-up in H2 while further tightening supply.
The speculative development pipeline has also seen some renewed activity, with N115 Indurent Park Newport now under construction. The scheme will deliver 115,045 sq ft of Grade A space and is scheduled to complete in Q4 2026. Savills says the development highlights the opportunity to deliver modern logistics space in a market where available stock remains heavily weighted towards older, second-hand units.
Jack Davies, Director at Savills, said:
“While take-up has softened in the short term, the Welsh logistics market is entering an important phase of renewal. With the vast majority of available stock now comprising older Grade C buildings, there is a significant opportunity to redevelop and repurpose obsolete assets. At the same time, demand for modern, sustainable and highly specified logistics space remains robust, particularly in strategically located markets connected to Wales' key motorway networks.”
Kevin Mofid, Head of Industrial & Logistics Research at Savills, added:
“The Welsh logistics market remains fundamentally undersupplied when it comes to modern, large-scale warehouse accommodation. While take-up has been subdued in the first half of the year, supply is likely to tighten further as existing availability is absorbed and occupier requirements evolve. Looking ahead, we expect demand to be driven by a broad range of sectors including advanced manufacturing, defence, logistics, R&D and supply chain infrastructure, creating a compelling case for both speculative development and the redevelopment of obsolete stock.”
