On 27 June, ShedMasters, the annual marquee event held exclusively for the European industrial and logistics sector, brought together a record number of over 500 leading developers, investors, occupiers, agents and facilitators to the hustle and bustle of central Amsterdam.

Despite the economic headwinds of the last year, the general feeling from the conference was one of cautious optimism. Here's why:

• The European logistics market is facing an improving outlook, with take up in the industrial and logistics sector now being 9% higher than pre-Covid levels.
• Investment volumes are up 58% on the same period last year so, with European imports and investment volumes on the rise, the need for top quality industrial and logistics space is as important as ever.
• Consumer demand continues to grow, reflected in the ongoing surge in e-commerce. With global supply chains at risk from geopolitical threats, particularly disruption in the Middle East, the trend towards onshoring sees no abating.
• Take up is up 43% on H1 2023, although the speculative development pipeline on a pan European level is trending downwards.
• Whilst there are headwinds, the structural drivers which underpin the sector remain in place. The European and UK industrial and logistics market remains well positioned to take advantage of whatever opportunities come out of these unique and unusual times in which we live.

Aside from these economic markers, there is an acute awareness that continued growth in the sector will ultimately rely on sustainable, fit for purpose sheds. In particular:

• Growth in the sector relies on the need for excess power, especially as data centres grow in demand.
• With power hungry operations requiring a sustainable source of energy, it is vital to both occupiers and investors to transition to green energy and find ways to ensure optimum asset performance.
• Sustainability is now central to all decision making, not least because of increased stakeholder pressure to meet ESG performance goals and the realisation that sheds themselves need to be an attractive place for people to work.
• To achieve this the industry calls for a move away from old school passive ownership to more active involvement and collaboration between landlords and tenants.

As ever, there was lots to talk about and, as co-sponsors, it was a pleasure to facilitate the ShedMasters conversation, which continues to offer thought leadership in the sector.

As trusted advisors to both investors, developers and occupiers of industrial and logistics space, if you have any queries or would like to discuss your acquisition, disposal, management or development needs, please do get in touch.