The 25th anniversary of the Shedmasters conference took place in Lisbon this month, with delegates marking a milestone year against a backdrop of shifting demand, stubborn risks and mounting geopolitical uncertainty.
Kevin Mofid, Head of EMEA Logistics Research at Savills, presented data showing that, despite the economic and geopolitical headwinds, the UK and European logistics markets remain resilient. Take-up is still above pre-COVID levels, demand for larger units has rebounded, and although vacancy has climbed to 6.6%, new supply is falling fast. The market appears to be adjusting in an orderly way, with underlying demand drivers such as e-commerce and nearshoring continuing to support the sector.
Investor appetite also remains healthy. Industrial property now accounts for the highest-ever share of total real estate investment volumes. “There is capital ready to deploy,” said Mofid. “Logistics remains at the top of many investors’ agendas.”
However, Mofid also sounded a note of caution: “The unpredictability of the current global political environment - especially surrounding global trade policies - makes market forecasting unusually difficult. The situation can change almost by the hour.”
That view was echoed by the event’s keynote speaker, political broadcaster Andrew Neil, who described 2025 as a “geopolitical watershed”. He noted that the world is entering a new phase of global realignment, and that these shifts could have lasting implications for cross-border investment, supply chain strategies and occupier decision-making.
For the logistics industry, the message from Shedmasters was clear: while the sector’s fundamentals remain solid, geopolitics now represents a defining risk, one with the potential to reshape trade, capital and occupier decisions throughout 2025 and beyond.