<< Western Corridor
Office investment in the region for 2018 is expected to reach £2 billion. Overseas investors have accounted for over 22% of these deals to date, whilst local authorities have 34% of the regions transactions so far.
Investors continue to focus on prime/core assets, seeking steady and predictable income streams. However, the availability of suitable product remains low and motivated sellers remain in short supply.
The office leasing market has performed at a steady rate and is set to hit 2.1 million sq ft of take-up by year end.
Occupiers are increasingly focussed on well located, good quality space, and this has resulted in a decline in the size of transactions. In H1, just over 70% of deals were below 20,000 sq ft as tenants looked for quality space rather than quantity.
Flexible space is now a key consideration for both landlords and occupiers –over the past 12-18 months leasing activity from service operators has risen significantly. In H1 2018 alone, there has already been 175,000 sq ft of flexible space leased, representing 18% of total take up, with the majority of space transacted in the Thames Valley.
As the number of new schemes commencing declines, there is a supply gap emerging, with the pipeline in 2019 and 2020 looking limited.
The Thames Valley is at the heart of the developing battery technology sector in the UK. With the growth of electric vehicles, powering these new vehicles will require new and innovative battery technology.
Director – National Investment+44 (0)20 7087 firstname.lastname@example.org
Director - South East Office Agency +44 (0)20 8283 email@example.com
Head of UK Research +44 (0)207 087 firstname.lastname@example.org
Associate Director – National Investment+44 (0)20 7852 email@example.com