Small and medium sized industrial property in demand

There is a demand for small to medium-sized industrial space, a trend which started to emerge early in the year – and which seems to be picking up momentum.

This is according to Org Geldenhuys, managing director of property management company, Abacus DIVISIONS, who said there has been a “noticeable uptick” when it comes to tenants looking for warehouse and office space “up to 300 square meters”.

“The trend is for companies to mix office space with warehousing space, traditionally looking for a split of around 50 square metres in office space and 250 square metres of warehousing space. There is a lot of demand in this market space and we are filling vacant warehousing space within 48 hours of advertising for tenants. Right now it is a very buoyant market.”
He said the office/warehouse mix is generally 20% for office space and 80% for warehousing space.

“That’s pretty much the trend right now,” he said.

Commenting further, Geldenhuys said there is a “definite market opportunity” for property developers in this market segment, adding that the upward trend will continue “for the foreseeable future based on the demand and inquires we are receiving.’’

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