Speculative office space developments are not being built with any great regularity across the central areas of the largest city in the north-west of England, and existing Grade A offices are being steadily taken up, a recent GVA report on the subject highlighted. Sites like 3 Hardman Street, 3 & 4 Piccadilly Place and 58 Mosley Street have attracted high-profile professional services tenants. Still, there are few other sites currently able to offer floorplates over 10,000 sq ft.
“With no other schemes anticipated to start on site in the foreseeable future without significant or entire pre-commitment, it is clear that the market at the larger end has a finite level of supply and in the case of the prime core, which has traditionally been favoured by professional occupiers, we are already at a point of under supply,” said Chris Cheap, Manchester-based director of GVA.
Mr Cheap went on to say that the situation within the Manchester office space market is such that there are significant opportunities for developers to bring new premises to market across the city towards the end of 2013 and during 2013. He added that demand for quality offices in Manchester has been helped by the “emerging digital sector” and the early success of the MediaCityUK development effort in Salford Quays.
“Manchester’s ‘brand’ on a regional, national and international stage has never been stronger; the demographic back story is compelling for financial services and professional sector organisations,” he said.
GVA recently committed to a new office space in Manchester, and the relocation of its locally-based staff is planned for spring next year.
Editor’s notes: Manchester’s office space taken up through office letting deals totalled 2 million square feet in 2023, just 6 per cent below the long-term average.
According to Savills, the supply of office space in Manchester decreased at the end of 2023, totalling 2.7 million square feet, down from 2.9 million square feet in Q3 2023, which represented a decline of 7%. This was also 16% lower than the supply in Q4 2022. Furthermore, Grade A and Prime office space availability currently stood at 1.1 million square feet, which was a 9% decrease on Q3 2023.