Winter WeatherΓÇÖs Legacy – Serviced Office Space in North West Suffers
Further impact from the severe winter weather that affected businesses in North West England during the opening months of 2010 has been revealed in a new report from office space specialists officebroker.com, showing that -71% fewer businesses entered serviced office space between January and March compared the same period in 2009.
Having seen the overall number of serviced office tenants increase by 26% during 2009, the North West had led the way in a market which is often seen as an accurate gauge on the health of the all important SME sector. So with business tenants on the rise, the 352 providers of serviced offices in the North West were hoping to continue building upon this success.
But as shown in a report released this week by leading internet broker officebroker.com, the number of businesses entering serviced office space during the opening quarter of 2010 fell sharply ΓÇô a change being directly attributed to the disruptive and prolonged winter weather that played havoc throughout the region.
With regional infrastructure heavily affected by the weather during this period, it is believed the opportunities for prospective tenants to carry out successful tours and complete the necessary preparation for successful occupation of new business premises was severely limited, leading directly to the declines recorded in the officebroker.com report.
ΓÇ£The weather was extremely disruptive and forced many businesses to put their plans on hold.ΓÇ¥ explains officebroker.comΓÇÖs Head of UK Sales, Chris Meredith ΓÇ£Business owners were forced to focus on their core business needs and delay non-urgent moves until a later date. I would expect levels to certainly recover in Q2 and even be boosted by those businesses that had to put-off proposed moves at the start of the New YearΓÇ¥
As well as expectations of market recovery, the officebroker.com report also provides evidence that those businesses who did complete moves during the opening quarter were larger and more committed than in the same period of 2009, with both the number of workstations required by tenants increasing and initial license lengths on the up.
A copy of the Serviced Office Review: North West Q1 2010 report on which the information is based is available to download free of charge.