Prime industrial rents have remained relatively stable over the six months to the end of Q1 2026 but the pace of growth has eased as the supply of space has increased. Average growth across the Glenny region was 1.9% over the past twelve months, with the strongest growth in the South East London & Kent and Essex markets. The strongest growth has been recorded in the Charlton & Woolwich market, where values are back to £27.50 per sq ft, whilst Thurrock has moved to a new high of £17.50 per sq ft. The highest rented location in the Eastern M25 continues to be Canning Town, where prime rents have remained at £32.50 per sq ft for the past four years.

The growth in prime headline industrial rents slowed to 1.9% in the 12 months to the end of Q1 2026, with 10 of the 16 locations in the Glenny Rent Survey seeing values remain stable. There has been an outward shift in tenant incentives and rent free periods, implying that net effective rents have softened.

The main focus of growth is in the Outer M25 locations, with the strongest growth registered in Ashford (although the main growth occurred in the early part of last year) and more modest increases in Thurrock, Dartford, Chelmsford and Basildon. The only Inner M25 location to record growth over the past 12 months was Charlton/Woolwich, where prime rents returned to the previous peak of £27.50 per sq ft on the back of improved occupier demand.

Growth over the past 12 months has averaged 2.5% in the Outer Eastern M25 markets, with Inner M25 growth at 1.5% but there are signs of improved levels of occupier activity in the Inner M25 markets.

Owner occupier capital values per sq ft have continued to ease falling back by -2.1% over the past six months and -6.7% over the 12 months. The pace of downturn seems to be easing as rental values and interest rates show signs of stabilising.

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Key Contact

John Bell

Managing Partner, Head of Commercial Agency

020 3141 3500
[email protected]