BRISTOL OFFICE TAKE-UP ON THE RISE IN FIRST HALF OF 2016
The Bristol office market experienced a strong first half to the year, with total office take-up in the city centre 34% higher than the half-yearly average of the past five years.
This is according to a new report published by property advisers CBRE.
Largely driven by two significant deals EDF (81,202 sq ft) and Direct Line (63,123 sq ft), total office take-up in Bristol city centre was 381,291 sq ft during H1 2016. Of the 63 transactions, with an average deal size of 6,052 sq ft, six were over 10,000 sq ft.
The dominant sectors for take-up activity were Manufacturing, Industrial and Energy (28%), followed by Business and Professional Services (27%) and Creative Industries / TMT (17%).
The report reveals a total of 868,387 sq ft of available office supply at the end of H1 2016 in the city centre, which represents a 9% fall from the end of 2015. Compared to other major regional office markets, Bristol is particularly constrained in terms of Grade A space, with only 88,000 sq ft available supply in three buildings: 2 Glass Wharf, Portwall Place and Templeback.
Philip Morton, Head of Office Agency & Development at CBRE Bristol, said: “The Bristol office market continues to remain stable with developers, landlords and occupiers all having a degree of cautious confidence and positivity towards the short to medium outlook for the market. The lack of supply of Grade A offices will no doubt drive the next few months as demand returns in the Autumn once the post-referendum dust has settled.”