A boom in the automotive property market has seen a 30% increase in demand for sites and the highest rate of new build activity since before the recession, it has been claimed.
According to Adam Chapman, head of real estate consultancy Knight Frank's automotive team, the demands of the automotive trade have been high in 2015, reflecting the record breaking car sales of 2,274,550 units to October (Source: SMMT).
Site requirements are up 30% on 2014 and new-build development activity is the highest since the recession, according to an article in the World Property Journal in which Chapman was quoted.
Chapman said that Knight Frank has advised on nearly half of the automotive investment transactions recorded, in a year where yields hit a record peak.
The Property Journal article said that the upward trend had attracted the attention of overseas investors. It stated: “The sector is now fully on the radar of mainstream investors, and very much established as an 'alternative sector' asset class. Business-to-business sales are flowing, and there is a new breed of foreign dealer group looking for presence in the UK.”