Industrial

East Midlands industrial market H1 2026: what the numbers are telling us

Deal volumes across the East Midlands industrial market are up 25% year-on-year in the first half of 2026, with average rents stabilising between £9.45 and £9.65 per sq ft and lease terms lengthening to an average of 7.01 years, according to NG Chartered Surveyors’ latest transactional data.

With the first half of 2026 now behind us, we’ve reviewed our own deal data across Nottingham and Derby to see how the industrial market has actually performed on the ground, not just in the national headlines.

The headline numbers

• Deal volumes: up 25% compared with the same point in 2025
• Average rents: stabilising between £9.45 and £9.65 per sq ft
• Average lease length: 7.01 years, up from 6.10 years in 2025

Taken together, these figures point to a market that is busier, calmer on pricing and increasingly occupied by tenants willing to commit for longer.

Deal volumes: activity is building, not just recovering

A 25% increase in completed deals is a meaningful jump, not a rounding error. It suggests occupiers who spent 2024 and 2025 in “wait and see” mode are now converting that appetite into signed leases.

Nationally, take-up in the UK industrial and logistics sector has stayed resilient through the first half of 2026, running ahead of five-year averages even as investment volumes remain more subdued. Our regional data suggests the East Midlands, sitting at the heart of the country’s road and rail logistics network, is capturing more than its share of that activity.

Rents: stabilising, not stalling

Average achieved rents of £9.45-£9.65 per sq ft represent a levelling-off rather than a slowdown.

After several years of sharp rental growth across UK industrial and logistics space, a period of stabilisation is a healthy sign for occupiers planning space requirements and for landlords underwriting future income.

It also reflects the East Midlands’ position as a value alternative to the more constrained industrial markets around London and the South East, where Grade A availability has tightened further over the past year.

Lease terms: occupiers are committing for longer

Perhaps the most telling shift is in lease length.

An average term of 7.01 years, up from 6.10 years in 2025, tells us occupiers are backing their businesses’ medium-term plans with real commitment rather than opting for short, flexible terms.

Longer leases are good news for landlords seeking income security, and they typically signal genuine operational need for the space rather than speculative or transitional occupation.

What this means for landlords and occupiers

For landlords

Rising deal volumes and lengthening lease terms suggest now is a good time to bring well-specified units to market, particularly in the East Midlands’ core logistics corridors.

For occupiers

Stabilising rents mean less pressure to rush decisions purely to beat rising costs, but the increase in deal volumes suggests good stock is being absorbed. Early engagement with agents remains the best way to secure the right unit on the right terms.

Frequently asked questions

How much have East Midlands industrial deal volumes grown in 2026?

Our deal volumes are up 25% in H1 2026 compared with the same period in 2025.

What are average industrial rents in the East Midlands in 2026?

Average achieved rents are stabilising between £9.45 and £9.65 per sq ft as of H1 2026.

What is the average industrial lease length in the East Midlands right now?

The average lease length reached 7.01 years in H1 2026, up from 6.10 years in 2025.

Talk to NG about the East Midlands industrial market

NG Chartered Surveyors advises landlords and occupiers on industrial agency, lease advisory, valuations and investment across the East Midlands. If you’re considering your options in the current market, get in touch with our industrial team.