Industrial sector talking points

Industrial sector talking points

Industrial - Workplace February 2020

Industrial sector talking points

The industrial sector continues to go – and grow – great-guns in New Zealand and if you’ve been considering a move to new premises, you’ll be aware that there’s been a real squeeze on available property for lease.

New property has been coming on stream around the country, but demand is outstripping supply in many locations as the sector continues to evolve and thrive.

It’s an interesting arena to be in with industrial businesses constantly reassessing their space requirements and trying to stay ahead of the eight-ball in a rapidly-changing world.

In May this year, the Industrial and Logistics Conference and Showcase will be held in London bringing together 350-plus leading developers, occupiers and disruptors – all keen to explore the industrial sector in more depth.

It’s interesting to note some of the areas of discussion planned for this conference as it gives us some clues as to the top-of-mind issues and priorities among landlords and tenants and some pointers as to the core change-makers within the sector.

The agenda hints at big discussions around:

• How new technologies are shaping the future of industrial and logistics – from automation to autonomous vehicles – and how industrial property could and should respond to these disruptors
• The great sustainability debate – what priorities do businesses have and how will this influence the sort of industrial property being sought out by tenants
• Insights into the latest thinking on last-mile delivery and ultra-urban logistics
• What does a general election mean for the industrial sector
• What sort of workplace change will automation, robotics and 3D printing create
• Beyond big box – a look at the diversity of occupiers, their challenges and unique needs for warehousing and retail space
• How to attract and retain talent in a changing world and how to foster and cater to diversity in the workforce
• The impact that BREXIT could have on the industrial sector

Last year, the theme of the conference was Future Focus and disruptive technology was the core topic being explored.

Core take-outs included:

• There’s been a great tech-tonic shift – the sector is being bombarded with change
• Robotics continue to revolutionise warehouse operations and this will inevitably cause significant job losses
• 3D printing (or digital manufacturing) is a complete game-changer with the example of a robotic 3D printer printing a house in 24 hours at a cost of £8,900 being cited
• Logistics in the industrial sector is no longer about big trucks and sheds but rather about agility and ability to meet consumer demands creating pressure around final-mile delivery
• How green principles are honoured in a rapidly-changing delivery model and the part that electric vehicles will play (and the need for efficient charging stations to keep the fleet running)
• Repurposing underperforming out-of-town retail parks into industrial and urban logistics centres
• The potential for multi-storey industrial property to deal to land shortages
• The rise of dark stores or shadow warehouses to satisfy a burgeoning demand for online supermarket shopping

Nothing stays the same for long in the industrial sector and Bayleys will be keeping an eye on the proverbial ball to stay relevant in a dynamic and evolving industrial environment.


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