National investment

^{▲ Sainsbury's Distribution Warehouse Hams Hall}

■ The positive sentiment aimed at the UK logistics sector has shown little sign of abating into 2017 as investment volumes have reached £2.3bn, almost £1bn higher than the same period in 2016 and 150% higher than the long-term average.

■ The market was aided by a number of portfolio transactions. Project Apple saw CBRE Global Investment Partners invest £310m into a joint venture with Prologis whilst SEGRO took full control, from Aviva, of the Airport Property Partnership. Oxenwood also completed their acquisition of the Ultrabox portfolio in a joint venture with AIMCo of Canada.

■ The largest single unit deal of the half year came at Hams Hall in the West Midlands where Far Eastern clients of KFIM purchased the 699,983 sq ft Sainsbury's Distribution centre for £98.5m, reflecting a net initial yield of 4.9%.

■ Stock availability remains an issue for investors as many of the largest developers are holding stock rather than trading. This is demonstrated by the fact that deal count has actually fallen year on year. First half investment volumes are made up of 77 deals compared to 116 for the same period in 2016.

■ The Savills prime yield remains unchanged at 5%, however there is increasing downward pressure as demand for prime assets remains high and stock levels low.

^{Source: Savills Research, Property Data}

^{Source: Savills Research}