Vacant and Vulnerable: Securing Empty Commercial Properties in a Post-Pandemic World
As the UK commercial property market shows signs of recovery in 2025, with declining vacancy rates across retail, office, and industrial sectors, the risks associated with empty properties remain significant. CBRE’s UK Retail at a Glance Q1 2025 reports falling retail vacancies, yet vacant units continue to attract unauthorized occupation, theft, vandalism, fire, and environmental damage. These threats expose landlords to financial, legal, and reputational risks, making proactive security a strategic priority. This updated blog leverages the latest 2025 data to explore these challenges, best practice security measures, and technology-driven solutions like Vacatad’s, ensuring compliance with business rates relief and asset protection in a dynamic market.
The Current State of Commercial Property Vacancy
The UK commercial property market is stabilizing in 2025, with vacancy rates declining across key sectors. CBRE’s UK Retail at a Glance Q1 2025 notes reduced vacancies in High Streets, Retail Parks, and Shopping Centres, driving rental growth in select markets. Retail Parks lead investment activity, with stable yields reflecting sector resilience. In the office sector, Avison Young reports central London vacancy rates fell to 6.9% in Q3 2024, with take-up 3.2 million sq. ft., a trend expected to persist into 2025 Avison Young. Financial and professional services drove 47.4% of leasing activity, signaling robust demand.
For industrial and logistics, Carter Jonas indicates vacancy rates are leveling off, expected to peak in 2025 before declining due to limited new supply and sustained occupier demand Carter Jonas. Savills predicts low vacancy rates and above-average rental growth across sectors in 2025, driven by undersupply and business growth Savills. Despite this recovery, vacancies in secondary locations remain elevated, exposing properties to risks that require proactive management.
The Legal and Financial Exposure of Vacant Space
Vacant commercial properties face multiple threats, each carrying significant financial and legal implications.
Squatting Risks
Squatting in commercial properties is a civil matter in the UK, requiring court orders for eviction, which can take weeks or months and cost landlords upwards of £5,000 in legal fees Clearway. Squatters may cause property damage or, in rare cases, pursue adverse possession claims, complicating recovery. The visible presence of squatters can deter prospective tenants and harm a landlord’s reputation.
Theft and Vandalism
Unsecured properties are targets for theft, particularly of valuable materials like copper wiring and HVAC systems. Metal theft costs the UK economy over £500 million annually, with vacant buildings at high risk Clearway. Vandalism, such as graffiti or broken windows, signals neglect, inviting further crime and reducing marketability.
Fire and Insurance Liability
Vacant properties are prone to fire, with arson being the leading cause of commercial fires in the UK. Empty buildings lack regular oversight, increasing vulnerability. Insurance providers classify vacant properties as high-risk, imposing higher premiums or voiding coverage if security conditions (e.g., alarms, inspections) are unmet, leaving landlords exposed to significant losses Clearway.
Environmental Damage
Neglect can lead to water ingress, pest infestations, black mould, or structural degradation from temperature fluctuations. These issues escalate into costly repairs, diminishing a property’s value and appeal. Routine maintenance is essential to preserve long-term marketability.
A Proactive Security Strategy is Essential
With declining vacancy rates but persistent risks, landlords must adopt active security protocols to deter intrusion, detect hazards, and demonstrate oversight. These measures support compliance with business rates relief, such as Empty Property Relief (EPR), and insurance requirements, preserving asset value in a recovering market.
Best Practice Security Measures
Remote Monitoring: Motion-sensitive cameras with night vision and cloud-based feeds provide real-time visibility without on-site staff.
Smart Sensors: Sensors for humidity, smoke, temperature, and air quality detect issues early, preventing costly damage.
Alarm Systems: Audible alarms linked to monitoring services deter intruders and alert managers to unauthorized access.
Physical Hardening: Secure doors, shutters, and anti-climb measures minimize entry points.
Weekly Inspections: Documented visits ensure early issue detection and provide an audit trail for compliance.
Even with these measures, a visibly empty property remains vulnerable. Combining security with beneficial occupation addresses this challenge effectively.
Turning Security Into Occupation
Beneficial occupation involves using a property to provide genuine utility, meeting legal criteria for EPR eligibility. The Valuation Office Agency (VOA) requires occupation to be actual, beneficial, exclusive, and non-transient, as clarified in the 2018 case R (on the application of Principled Offsite Logistics Ltd) v. Trafford Council Dentons. Since April 2024, EPR requires a thirteen-week occupation period to reset relief GOV.UK.
Technology-driven solutions, like installing Wi-Fi routers for public access, establish a visible presence that deters crime while qualifying for relief. These setups, when paired with security and environmental sensors, meet all four criteria, aligning with the 2025-26 Retail, Hospitality, and Leisure Relief framework, which requires compliance with subsidy control obligations GOV.UK.
The Vacatad Solution: Occupation That Secures
Vacatad provides a technology-driven approach to secure vacant properties while ensuring compliance, as described on their website. Their model includes:
Free Public Wi-Fi: A plug-and-play router offers community internet access, meeting the “beneficial” criterion.
Advanced Surveillance: Optional 2K HDR cameras with night vision and motion detection provide instant alerts.
Environmental Monitoring: Sensors for air quality, temperature, and humidity prevent damage.
Formal Tenancy Agreement: Compliant, exclusive, and non-transient tenancy agreements satisfy VOA requirements for EPR.
Vacatad manages council interactions, ensuring eligibility for relief under 2025-26 regulations, including the 40% RHL Relief capped at £110,000 GOV.UK. This solution mitigates risks while enhancing property appeal in a market with declining vacancies.
A Smarter, Safer Way to Manage Vacant Space
In 2025, with vacancy rates falling but risks like squatting, theft, and fire persisting, security is a strategic imperative. Proactive measures, combined with beneficial occupation, protect assets, comply with regulations, and position properties for success in a recovering market. Vacatad’s innovative approach offers landlords a practical way to secure vacant properties, reduce liabilities, and prepare for future leasing opportunities. For more on rates relief, visit GOV.UK. Don’t just secure your properties - occupy them legally and visibly with Vacatad.
Source Contributions
Vacancy TrendsCBRE Q1 2025 - Confirms declining retail vacancies.
Office VacanciesAvison Young - Reports 6.9% London office vacancy rate.
Industrial OutlookCarter Jonas - Predicts industrial vacancy peak in 2025.
Market OutlookSavills - Forecasts low vacancies and rental growth.Beneficial Occupation
DentonsClarifies occupation criteria.
Security RisksClearway - Details squatting, theft, and vandalism risks.EPR ReformGOV.UK Spring Budget 2024Confirms thirteen-week EPR reset.
2025-26 ReliefGOV.UK Business Rates Relief - Details 40% RHL Relief.
