Bristol’s booming office market has expanded beyond the city centre with take-up figures for the first quarter of 2017 revealing an increase in out-of-town demand.
James Preece, national offices director in the Bristol office of Colliers International, said: “The shortage of supply in the city centre has seen the number of transactions fall, however this has been countered by a significant improvement in occupier demand out of town.”
“The Bristol office market has started 2017 in a good position, with take up around the five-year average. With good levels of demand including a Government requirement for 250,000 sq ft, rental levels are forecast to continue rising.”
Recently-released statistics for Q1 Bristol offices take-up show a total of 126,000 sq ft in the city centre, which is 7% below the five-year average for the first quarter.
Take up out-of-town for the same period totalled 90,000 sq ft, marginally up on the 5-year average and 20% up on this time last year.
Preece added: “There are currently a large number of deals under offer that did not manage to creep into Q1, so the statistics are expected to improve as the year progresses.
“In contrast to the city centre, there were 40% more transactions out-of-town compared to the same period last year.
“There has been an increase in larger out-of-town requirements in March, and as in the city centre there are also a good number of deals under offer.”
The aviation sector was responsible for almost 30% of out-of-town take up in Q1, with a diverse range of other sectors also contributing including financial, construction and TMT.