At the moment Leeds has a good supply of Grade A properties to let but this could change rapidly with an upswing in lettings. The reason for that is that there are only 4,273 sq.metres (46,000 sq.ft.) under construction, the lowest figure, reports Drivers Jonas Deloitte, since 1996.
The three largest properties available at the moment are Highcross’ 13,935 sq.metres (150,000 sq.ft.) Broad Gate, Headrow; Deltalord’s the Mint, which is 10,684 sq.metres (115,000 sq.ft.) on Sweet Road and IVG’s slightly larger No.1 Leeds, Whitehall Road. “There are still cracking deals to be done in the market,” said Richard Thornton of King Sturge, ”and this could drive the market rather than increases in rents. There is greater confidence with increased viewings and more money around.”
He notes the reasonable levels of demand, but also that it comes from smaller organisations. Like Pearey, he feels a major incentive will be pressure on companies to move to take advantage of favourable leases with rent free periods. Because the three large buildings available are considered to be outside the city core, David Powell of Drivers Jonas Deloitte said: “From a developer’s perspective, there may be money to be made doing a high quality or high end refurbishment aimed at smaller lettings, and in the middle of the city.”
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