Is open storage the new asset class in the industrial sector?

Given that specification and quality is increasingly important to occupiers, depending on the intended use, we believe it is essential to classify open storage sites accordingly. This will help to match requirements with suitable sites, and help landlords to better identify demand levels.

We have therefore developed a four-tier system to classify open storage sites, as set out in the diagram below. This reflects the requirements identified in the previous section, and includes factors such as the type and durability of the surfacing, the permitted use, ease of access for vehicles, and the level of services and security.

In addition, the nature of the location is important, for example its proximity to the motorway network. This will vary significantly according to specific occupier requirements, and it is therefore classified separately as Primary, Secondary, or Tertiary.

^{* CLEUD (Certificate of Lawful Existing use or Development) – this certificate is legally granted by a Local Planning Authority to retroactively legalise a previously unauthorised development. The CLEUD certifies that an existing building/use is lawful, and it will prevent any enforcement action being taken. In terms of open storage, a CLEUD certificate may benefit occupiers if a planning application was declined for a particular use and may allow a specific use such as open storage.}

Click below to download the above diagram as a static PDF table.