Manchester’s office market led the way among the ‘Big Six’ regional cities in 2014 according to new research from property consultant JLL.
A total of 28 deals above 10,000 sq ft were completed in Manchester last year – more than Birmingham, Bristol, Leeds, Glasgow and Edinburgh.
In addition, Manchester also secured the largest total volume of take-up over the 12 months – 1,327,000 sq ft, with Edinburgh and Bristol in second and third. Huge Grade A take-up of almost 500,000sq ft in 2014 was the highest in the Big Six and the second highest ever recorded in the city.
The research also showed that prime rental values in Manchester grew to £32 per sq ft, over the year with further rental growth predicted.
The period was the best performing year for the regional markets – with total office take-up of five million sq ft nationally in the ‘Big Six’ and 1,080 office transactions completed – a 25 per cent increase compared to 2013.
Chris Mulcahy, office agency director at JLL in Manchester, said: “There’s a burgeoning demand for quality office space among the regional cities.
“This is something we predicted last year in our report on the growing trend towards urbanisation driving businesses to seek out accommodation in city centres.
“It’s not surprising that Manchester is leading the way among these markets. The city’s infrastructure, labour market and strong civic leadership sets it apart and the ability and track record of attracting occupier inward investment is now well established here. This provides the step changes to growth that all cities are seeking.
“The city has responded well to its office market success with numerous much needed office development schemes on site, providing an additional injection of stock in the city centre in order to meet this uplift in demand and to provide occupiers with choice. This supply line is essential to allow inward investment to continue.”