Leeds Office Market Transactions ΓÇ£significantly greaterΓÇ¥ in First Half of 2010
The latest Leeds Offices Market View from CB Richard Ellis (CBRE) has reported a ΓÇ£significantly greaterΓÇ¥ number of commercial office property transactions in Leeds during the first half of 2010 ΓÇô signalling what they consider to be a cautious increase in occupier confidence.
With 151m of investment deals reported by CBRE in 2010 compared to ┬ú103m in the same period of 2009, CBRE believe the increased activity will continue into the second half of 2010 ΓÇô with larger requirements being generated toward the beginning of 2011.
“A total of 48 deals have completed this year compared with 36 in the first half of last yearΓÇ¥ explained Jonathan Shires, director of office agency for CBRE in Leeds, before explaining that while transaction numbers were up the size of those deals had reduced, ΓÇ£but 41 of these deals were less than 5,000 sq ft resulting in a decreased average deal size of 3,000 sq ft against the 5,100 sq ft average of last year. There has been an absence of any significant lettings and the completion of only 2 deals above 10,000 sq ft.”
“Looking ahead to the end of the year and into 2011, we are confident that a continuation of occupier confidence will result in some larger deals being completed in the marketplace.ΓÇ¥
The trend shown in the CBRE report, of an increased number of deals with smaller requirements, was also reflected in the regions serviced office space market in Q2 10, with the Serviced Office Review: Yorkshire & Humberside Q2 2010 report from officebroker.com reporting a rise in both enquiry levels and clients placed but a reduction in the average workstation demand throughout the quarter.