The market for office space to rent in the so-called M42 corridor area close to Birmingham in the English Midlands is proving popular once again after a dip in demand following the global financial crisis.
Office space markets around the world struggled for growth following the onset of recession and the subsequently difficult economic environment. But the rental activity in the M42 corridor returned to pre-recession levels in 2012, according to local real estate experts at the commercial property consultants GVA.
The district takes its name from the motorway that leads out of Birmingham and towards London and the South-East of England. Offices in the area are categorised as being out-of-town and tend to be rented within the context of a larger purpose-built business park.
According to GVA, the office rental deals in the M42 corridor related to a total of 422,899 sq ft of space over the course of 2012, a figure notably higher than the 300,000 sq ft recorded four years before.
“Since 2008, activity levels have been in an understandable state of decline, so this is an exceedingly optimistic start to 2013,” said GVA associate Adrian Griffith.
“It is too early to say for certain that this will be a strong year however there are currently a number of transactions and enquiries in solicitors’ hands that are leaning towards a strong first quarter.”
Griffith went on to note that leading sources of demand for office space to rent in the M42 corridor include employers in engineering services, the automotive industry and biomedical companies.
“It is a safe bet that the marketplace will continue to remain active and there will still be some exceedingly decent deals available for both occupiers and landlords,” he concluded.