Low Commitment and Smaller Requirements Dominate East Midlands Office Space
Businesses entering serviced office space in the East Midlands are smaller and less committed than those in other areas of the UK according to a report from a leading office space brokerage firm officebroker.com.
Despite a growing numbers of businesses entering office space and a big rise in enquiry levels, those entering the 106 business centres offering serviced office space in the East Midlands continue to have the smallest workstation requirements and shortest initial license lengths of anywhere in the UK.
Highlighted in a quarterly review of the East Midlands from the UKΓÇÖs largest independent broker of serviced office space officebroker.com, businesses entering flexible office space throughout the East Midlands have an average requirement of just 2.9 workstations (an industry term for a desk and equalling to an average of 75 sq ft of office space) compared to a national average of 4.3 workstations.
These smaller requirements, while certainly a symptom of the cost cutting and streamlining adopted during the recession, shows that businesses in the East Midlands have been less able to recover despite the turnaround in the economy in the closing stages of 2009.
In addition to falling workstation requirements, businesses in the East Midlands are also yet to show the commitment levels recorded in other regions of the UK, with businesses in the East Midlands signing initial licenses for serviced office space averaging just 6.1 months ΓÇô nearly 2 months less than the average of 8 months recorded in the remainder of the UK.
While the East Midlands may not have seen a return of larger, more committed firms in its office space in the opening months of 2010, it has attracted an increased number of individual tenants ΓÇô with 31% more businesses entering serviced office space in Q1 2010 than 12 months earlier. WhatΓÇÖs more, his growing up-take of office space looks set to continue, with the officebroker.com report also showing a 37% increase in the enquires being received for serviced office space during the same period.
The report from officebroker.com, who work with over 95% of the UKΓÇÖs serviced office providers and landlords, is available to access for free from www.officebroker.com and forms part of their Serviced Office Review Series that details market activity across the entire UK each quarter.