As two transformative tunnel projects take shape - businesses, investors, and commercial property developers in the South East of England find themselves at a pivotal moment. The £1.2bn Silvertown Tunnel, set to open in April 2025, and the £9bn Lower Thames Crossing (LTC), recently approved by the government, are poised to reshape the commercial landscape, offering unprecedented opportunities across Essex, Kent, and London. These developments promise to improve connectivity, alleviate congestion, and open up new markets—factors that will drive growth for businesses in the region. Glenny LLP’s Commercial agency share insights into how these high-profile infrastructure projects will influence the commercial property sector and what stakeholders could expect from this period of growth.
Silvertown Tunnel: A Gateway to New Opportunities
The opening of the Silvertown Tunnel, which will ease congestion at the notoriously crowded Blackwall Tunnel, is an exciting milestone for London. The new tunnel will not only reduce traffic delays and environmental impacts but will also provide commercial areas on both sides of the River Thames with improved access to key markets. Peter Higgins, Divisional Partner in Glenny’s East and North London & Hertfordshire Commercial Agency team, highlights the far-reaching benefits of the project. “The improved transport capacity will foster more efficient movement of goods, connecting businesses across the river and opening up opportunities for both north and south Thames-based enterprises,” he says.
However, while the tunnel’s construction promises significant economic advantages, Higgins also cautions about the unmeasured impact of tolls on businesses already under financial pressure. He explains that while improved connectivity could lead to better access to customers and clients, the added cost of tolls may create hurdles for some businesses trying to expand into new geographies. Despite this, the general outlook remains positive, with enhanced access potentially unlocking commercial space in formerly underdeveloped areas, particularly to the south of the river. This could lead to a realignment of property values, which has already been seeing upward trends in the last five years.
With improved connectivity to London City Airport (LCY), the Silvertown Tunnel will also benefit the aviation sector, allowing for more passengers to travel efficiently between South London and LCY. The introduction of sustainable bus routes through the tunnel will further improve accessibility, driving growth in commercial sectors reliant on the airport’s expansion.
The long-term benefits of the Silvertown Tunnel will take time to fully materialise, but the project is set to shape the built environment around it. As congestion is alleviated and property values increase, businesses across London will have more opportunities to thrive in previously overlooked locations.
Lower Thames Crossing: A Game-Changer for Essex and Kent
Further east, the government’s approval of the Lower Thames Crossing (LTC) promises to be a game changer for Essex and Kent. This £9bn project will alleviate the traffic congestion that has long plagued the Dartford Crossing, with expected traffic diversions improving air quality and reducing journey times by up to 30%. The LTC’s impact will be felt across multiple sectors, with particular advantages for the logistics, manufacturing, and commercial property markets in both regions.
From an Essex perspective, Glenny’s Jim O'Connell, Divisional Partner in the Essex team, emphasizes the significant economic boost the LTC will provide. “The new crossing will unlock opportunities in Essex’s key logistics hubs, particularly at Freeports like London Gateway and Tilbury. This enhanced connectivity will drive the growth of logistics, manufacturing, and international trade in the region, positioning Essex as a key player in the UK’s economic recovery,” says O'Connell. He foresees an increase in demand for commercial properties and warehouse spaces, which will help local businesses grow while attracting external investment to the region.
Daniel Wink, also a Divisional Partner in Glenny’s Essex team, expands on this sentiment, highlighting how the LTC will facilitate access to critical markets across London and the East Coast Ports. “The reduced travel times will open new opportunities for commercial development along the LTC route, creating a dynamic environment for businesses to expand or relocate,” says Wink, noting that this will lead to both short-term and long-term economic growth.
South of the river, Glenny’s Divisional Partner for South East London and Kent, Ivan Scott, underscores the importance of the LTC for Kent’s logistics sector. “The new infrastructure will allow for more efficient transportation, addressing the historical traffic bottlenecks at the Dartford Crossing,” says Scott. The LTC’s impact on Kent’s commercial property market is expected to be significant, particularly in warehouse and logistics developments. Improved access to the Channel Ports and faster journeys to key regional destinations will bolster Kent’s position as a strategic business hub.
Shaping the Future Economy: Unlocking Investment and Development
Both the Silvertown Tunnel and the Lower Thames Crossing are key to driving economic growth in the South East, creating numerous commercial opportunities in previously underserved areas. The region’s infrastructure will be more interconnected than ever, offering seamless transport options for businesses and commuters alike. This increased efficiency will not only improve the bottom lines of existing businesses but will also attract new investment and encourage the growth of the property sector.
For developers and investors, these projects open up new possibilities for speculative development, particularly in Essex and Kent, where demand for warehouse and industrial spaces is set to rise. As the regions’ transport links strengthen, the commercial property market will likely see a surge in interest, with both local and national players eager to capitalise on improved connectivity.
Ultimately, these tunnel projects represent a pivotal moment in the region’s economic development. With the potential to reshape the commercial landscape, improve business efficiency, and attract investment, both the Silvertown and Lower Thames Crossings will help unlock the full economic potential of Essex, Kent, and London.
At Glenny LLP, we recognise the significant opportunity these projects present and remain committed to providing our clients with expert guidance in navigating this exciting time of transformation. Whether you’re an investor, developer, or business owner, now is the time to capitalise on these major infrastructure developments and position yourself for success in the evolving commercial landscape.
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