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Research - 18/11/2014

Road upgrades will unlock new development land

Our ‘Roads to Riches?’ report reveals that the government’s proposed road improvement programme will benefit the logistics market in many parts of the UK by unlocking hundreds of hectares of development land and encouraging rental growth.

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The government has recognised that congestion and delays are a major problem, not just for road hauliers and logistics operators, but for businesses dependent on time-sensitive and cost-effective logistics. In a multi-channel world, where online retailers are promising next day or even same day delivery, there is a high demand for efficient logistics operations.

Seven core projects identified

We analysed around 50 infrastructure investment schemes proposed by the government over the past year under the umbrella plan ‘Investing in Britain’s Future’ and other initiatives.  The ‘Roads to Riches?’ report focuses on seven planned and proposed schemes that we expect will have the most impact on the industrial and logistics sector:

  • A5-M1 Link and Woodside Link, Dunstable
  • South East Nottingham Corridor improvements
  • A45 Development Link Road, Daventry
  • A38 Peddimore Junction improvements, Birmingham
  • A5 improvements, Nuneaton/Hinckley
  • A14 Cambridge to Huntingdon improvement scheme
  • A6 to Manchester Airport Relief Road

Hundreds of hectares of land to be unlocked

Collectively, these projects could potentially unlock 250 hectares (26.9m sq ft) of development land for industrial and logistics use – over a quarter of annual take-up in the sector -  support the leasing of existing schemes in the surrounding areas, encourage rental growth of around 5%, and make some areas more acceptable to institutional investors. 


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