When you think of industrial workspaces, it’s only natural to picture something a little lacklustre. Large warehouses come to mind with basic offices attached, at best. That’s only natural, seeing as these settings have been primarily designed for function – traditionally, at least.
However, modern businesses are realising the potential of these industrial workspaces. Not only that, but they’re also recognising that they need to unlock this potential to attract and retain the best talent. Why?
Competition for skilled workers is increasing, particularly in sectors like e-commerce, manufacturing and FMCG. And businesses can no longer sit on their hands. We’ve already seen a number of big brands relocating their distribution hubs to regional cities and towns for better access to talent.
Dig a little deeper, and you’ll see a greater shift inside those workspaces. High-performance work environments are being introduced as companies focus on workplace culture and the employee experience. Career development is being prioritised to keep staff on board, and sustainability is taking centre stage in an attempt to attract the best talent.
In this article, we’ll look at each of these points in more depth to explore how light industrial spaces are evolving to attract and retain talent.
A major shift in industrial real estate is the strategic relocation of distribution hubs to regional cities and towns. We’re talking about brands like Nike (Corby), Gymshark (Solihull) and ASOS (Leeds).
This is a significant step away from brands that typically set up camp in London and the surrounding areas. However, these locations offer both logistical advantages and better access to talent.
Moving away from the capital, businesses can set up near strong talent pipelines, where they will have local appeal to the talent pool. Graduates from any of Birmingham’s five universities, for example, are likely to choose a job at Gymshark’s Solihull base over a competitor which requires a London relocation.
This allows businesses to attract recruits with specialised skills that are in high demand for industrial sites. These include engineering, supply chain management and digital operations – to name just a few.
It’s not just locality and convenience that set regional hubs apart. Locations like Solihull, Corby and Milton Keynes offer numerous benefits over congested city centres:
With all that said, relocating to regional towns and cities doesn’t make brands immune from competition. As an example, Gymshark’s Solihull site is just 20 miles away from Jaguar Land Rover’s Coventry HQ. This puts them in direct competition for talent – an issue that will only become more prevalent as more brands make similar moves.
With this in mind, a well-designed space can be a differentiator when attracting young professionals who value a dynamic work environment. So, how can this be achieved?
Modern light industrial spaces are no longer just functional warehouses – they are experience-driven workplaces that promote productivity and wellbeing. This means designing spaces that combine form and function, providing on-site amenities for employee wellness, and integrating office and warehouse teams.
Gone are the days of the dark, drab warehouse. Companies are investing in visually appealing, high-quality spaces with natural light, modern interiors and collaborative areas to create an engaging environment.
With lower staff turnover and higher profitability among the benefits of better employee engagement, the rewards are clear to see.
For too long, industrial spaces have been written off as an undesirable working environment. However, more modern spaces include features like gyms, wellness rooms, breakout spaces and healthy catering options. This helps companies compete with office-based employers where they would previously have fallen behind in the race for the best talent.
Studies have shown that employees in collaborative settings are 50% more productive than those working individually. This applies to light industrial sites as well as offices, as operations, design and leadership teams often need to work together.
Rather than isolating office staff from warehouse teams, new layouts promote cross-functional collaboration.
As one of the fastest-growing companies in the world, Gymshark needed a building that could accommodate their rapid growth and attract future talent.
Their Solihull headquarters certainly hits that brief, incorporating on-site fitness facilities to reflect their athletic culture alongside collaborative workplaces and a modern office aesthetic.
Take a look…
Of course, it’s not just about the physical setting. Beyond buildings and facilities, companies are investing in culture-driven workplaces that foster collaboration, creativity and employee wellbeing. This includes…
Many businesses are incorporating hybrid working models into their industrial environments. While the majority of the workforce may need to be on-site, some roles have elements of both on-site and office-based work. That’s especially true with office and warehouse environments becoming more integrated.
As a result, many companies are offering adaptable office spaces for remote and in-person work. As discussed in our guide to hybrid working, challenges include:
We’ve mentioned how important employee engagement is to performance, productivity and staff retention. Their connection to the brand is a key element of this. That’s why companies are moving away from generic workspaces – instead creating spaces that reflect company values.
This is present in Huel’s Tring office, which reflects its mission of nutritional sustainability. Sustainable materials are used throughout the space, alongside plenty of on-brand features, such as the brand’s DNA and mission and ‘how to be a Hueligan’.
Workplace wellbeing is one of the biggest trends in office design in the 2020s. It has tangible benefits like improved productivity and better staff retention, not to mention staff taking fewer sick days.
So, it’s no surprise to see companies prioritising ergonomic workspaces, mental health support and sustainability to meet employee expectations. As well as physical factors like posture and exercise, workplace wellbeing covers:
Put simply, companies want healthier, happier employees who are physically and mentally well. Again, Huel has done this well with open-plan workspaces and employee wellbeing features that align with its brand values. Their Tring HQ has its own well-equipped gym, weekly Yoga classes and a free shuttle service from the local train station to their office.
Attracting talent is one challenge. But how do you keep the best staff at your company? Reducing staff turnover means saving time and money on recruitment and training. And according to recent research, staff retention rises by more than a third (34%) when employees have professional development opportunities.
With this in mind, many companies are embedding professional development into their workplace strategy. On-site training facilities are a key feature with dedicated learning spaces enabling continuous development. Innovation labs and product development hubs are a staple at facilities like Nike’s logistics and supply chain hub in Corby.
Positioned as an innovation hub, the site also incorporates state-of-the-art logistics and automation technology while providing career development opportunities for employees. This has become popular among light industrial spaces, which are designed to foster research and development, experimentation and creative problem-solving.
To strengthen this reputation, we’re also seeing collaborations with universities and research centres. This is another area where regional distribution hubs are advantageous. With a local presence and the right facilities on site, brands can partner with local institutions to offer apprenticeships and career growth opportunities.
Last but certainly not least, sustainability is a key selling point for light industrial spaces in the modern job market. Over half of Gen Z and Millennial employees now research companies’ environmental policies and impact before accepting job offers, for example.
Industrial businesses are responding by:
The building your business is based in can have a significant impact on your Environmental, Social and Governance (ESG) strategy. Solar panels are a simple example of this – generating renewable energy to minimise your consumption of fossil fuels (as well as reducing costs).
More broadly, the Building Research Establishment Environmental Assessment Method showcases a site’s environmental performance across the board.
BREEAM-certified developments are assessed using nine categories, including energy, water, pollution and waste. By moving to a light industrial space with an Excellent or Outstanding BREEAM rating, businesses can really showcase their commitment to sustainability.
The sustainability of your site is just one piece of the puzzle. Many businesses bolster this by encouraging sustainable travel from employees. After all, transport accounts for around 17% of global greenhouse gas emissions.
Installing cycling infrastructure is a simple measure you can take to encourage an eco-friendly commute. Electric vehicle charging also makes it easier for employees to switch to a vehicle with zero exhaust emissions.
Don’t forget that public transport is one of the best ways to reduce carbon emissions. Replacing car journeys with a train or bus ride can reduce CO2 emissions by 73% or 42%, respectively. This highlights the importance of good public transport links when choosing a location for your light industrial site.
Many companies are also integrating waste reduction strategies into both production and office functions. For example, DHL has introduced a new recovery management solution to reduce electronic waste. The logistics company is based at Unit 2, Auriol Drive, which has a BREEAM outstanding rating. The facility also has cycle stores and electrical vehicle charging on site.
Light industrial workplaces are evolving into dynamic, high-performance environments that attract and retain top talent.
An increasing number of companies are strategically selecting locations, investing in modern workplace design, fostering a strong culture and prioritising sustainability. In doing so, they’re transforming their operational hubs into thriving workplaces that engage employees for the long term – not just spaces for production and distribution.
For businesses looking to build industrial spaces that support both operational excellence and employee experience, Oktra is a tried-and-tested choice. We’re at the forefront of designing and delivering innovative solutions tailored to the needs of modern industrial employers. That’s been demonstrated time and again at sites for leading brands like Gymshark, Nike and Huel.
If you’d like to find out what’s possible with your light industrial workspace, don’t hesitate to contact our team.