The UK logistics property market enters 2026 in a state of evolution. After several years of record take-up driven by e-commerce growth, the market is maturing — but the underlying demand drivers remain strong. Here is our perspective on the trends that will shape the sector this year.
Supply Remains Tight
Despite a wave of speculative development in recent years, the supply of Grade A logistics space in key corridors — particularly the Midlands Golden Triangle, the North West, and the South East M25 arc — remains constrained. Planning delays, rising construction costs, and a limited supply of development-ready land continue to restrict the pipeline of new warehouse space. For operators seeking large format facilities (100,000 sq ft and above), the available options are limited, and competition for the best locations is intense.
Build-to-Suit Is Gaining Momentum
In response to the supply constraints, more operators are opting for build-to-suit (BTS) solutions — commissioning purpose-built facilities designed around their specific operational requirements. BTS projects deliver facilities that are optimised for the occupier’s workflows, automation strategy, and sustainability standards from day one, rather than requiring costly adaptation of speculative space. At FcMig, we have seen a significant increase in BTS enquiries over the past twelve months, particularly from e-commerce operators and 3PL providers seeking facilities tailored to their evolving distribution models.
Sustainability Is Now Table Stakes
Environmental credentials have shifted from a differentiator to a baseline requirement. Institutional investors, major occupiers, and planning authorities all expect new logistics buildings to demonstrate strong sustainability performance. BREEAM Excellent is increasingly the minimum acceptable standard for institutional-grade assets, and EPC (Energy Performance Certificate) requirements are tightening. Operators and developers who fail to address sustainability risk losing access to capital, tenants, and planning consents.
Automation Is Reshaping Requirements
The continued adoption of warehouse automation — from AMR fleets and automated sortation to goods-to-person systems and robotic picking — is driving changes in building specifications. Operators require higher clear heights, tighter floor tolerances, more robust power supplies, and more sophisticated data connectivity. These requirements are influencing both new-build specifications and refurbishment briefs, as operators seek to upgrade existing facilities to support automation programmes.
FcMig’s Perspective
At FcMig, we enter 2026 with a strong pipeline of projects spanning new-build warehouse construction, facility refurbishment, and ongoing maintenance programmes. We are particularly excited about the growing demand for smart, sustainable logistics facilities that leverage digital technology and low-carbon construction methods to deliver long-term value. Whether you are planning a new facility, upgrading an existing one, or seeking reliable maintenance support, our team is ready to help you navigate the evolving logistics property landscape.
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