The parcel industry is on the rise, partly thanks to online shopping, but the industry needs more warehouse space and that is hard to come by.

That’s according to Storage Handling Distribution magazine, who says that many mailing companies need more land but struggle to find buildings or property that is suitable for their needs.

Unfortunately, the property industry finds these types of buildings hard to deliver, because they are so expensive to make. This is due to the fact the building must be a certain shape, not to mention a depot needs an awful lot of land, which the UK simply doesn’t have much of.

This could be a major problem for the industry, which is rapidly expanding. According to, Hermes says it expects a 15 per cent increase in parcel volume thanks to the e-commerce industry.

However, investors are keen to get involved in the mailing industry due to its increasing growth but Richard Holberton, director of industrial and logistics research at surveyors CBRE, has said that investors are still very cautious.

Investors are the ones that fund the property developments so it’s important to get them on board, but Mr Holberton says it’s not all bad news.

“The size and shape of parcel hubs, which has been a concern for investors, is now beginning to gravitate to a more standardised blueprint, and that is helping investors to understand the market,” he said.


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