Local government interventions to stimulate industrial area intensification and co-location: Industrial urbanism

Abstract

In response to ever-increasing volumes of online retail activity, pressure to provide space for urban service companies in our core cities continues to build. Successful high-density city living relies on a balanced supply of premises suitable and affordable to relatively unglamorous but essential operations, not least ‘last mile’ deliveries. There has been a sustained outmigration of occupiers from industrial zones close to urban centres, however, leaving this land at risk of redevelopment for higher-value activities. Many UK cities feature long-established industrial estates close to high-value city fringes that now look and feel incongruous as the surrounding urban context has transformed. Tensions are highest in London, where the Greater London Authority (GLA) has commissioned specialist research that can act both as an early warning and inspiration to others. The missing catalysts are early-adopter exemplar property developments that demonstrate the commercial viability of new mixed-use property typologies suited to these intensifying market challenges. This is a role only likely to be fulfilled by the public sector. To do so would demonstrate proactive place leadership. Local and regional authorities can analyse market failure in the supply of property formats required by identified growth sector enterprises. Value heat maps will identify areas of greatest market tension for priority interventions. Proactive business relocation plans should embrace council owned stock and be delivered in cooperation with neighbouring authorities within single economic markets. Specialist commercial property and architectural expertise will be needed to build financial models to test the investment case of new format projects. Action plans should critique alternative delivery mechanisms. This paper discusses industrial area estates and the role of local government.