Balfour Beatty Office Deal Positive for Newcastle
Over 40,000 sq. ft. of office space has been taken by Balfour Beatty at the Quorum Business Park in Newcastle, generating 200 new jobs as the company seeks to centralise its accounting, payroll and procurement services at Balfour BeattyΓÇÖs businesses here in the UK.
Currently employing over 50,000 people worldwide, the arrival of Balfour Beatty is seen as a positive response to the investment made by Quorum as Fergus Trim, development director for Quorum explained:
ΓÇ£We are thrilled that Balfour Beatty is bringing its Customer Support Centre to Quorum Business Park. We have invested heavily in the infrastructure, amenities and sports facilities at Quorum and are pleased that high-quality buildings are enticing major plcs like Balfour Beatty to our region, creating hundreds of valuable jobsΓÇ¥
Mr Trim also indicted that he believed completion of this deal underlined that the North East region was displaying its ability to deliver to leading businesses.
Confirmation of this deal, which is the largest office space transaction in Newcastle this year, is seen as an excellent sign for the broader commercial property market according to Jonathan Shires of CB Richard EllisΓÇÖs North east Office Agency who advised on the officeΓÇÖs transaction.
Having reported a 57% decrease in the number of businesses placed in serviced offices during the opening quarter of 2010, research for the second quarter of 2010 showed that the number of placements had matched those of Q2 2009.
Whether or not this levelling out will continue or lead to an increase in take-up during Q3 will be revealed when officebroker.com publishes its Serviced Office Review Series for Q3 in early October 2010.