A tale of two countries: UK and Italy show appetite for industrial and logistics assets

The structural change in consumer behaviour, accelerated by the COVID-19 crisis, has made more consumers embrace the convenience of online shopping.

As a result, investor demand for European industrial assets is at an all-time high, driven by the strong growth of ecommerce and the subsequent need for occupiers to bolster their supply chains.

According to Real Capital Analytics, investment volumes (across all sectors) reached €340 billion in 2021, very close to the 2019 record high. Logistics investments reached €65 billion, putting them 45 percent up year-on-year and 74 percent ahead of the 2015 to 2019 average. Almost all European industrial and logistics markets have witnessed capital value growth in the past 12 months, but not all locations saw investment volumes rise — primarily due to a lack of available product for sale.

As the main driver of occupational activity in the logistics sector is the demand for online deliveries, it is important to track t