Written by Chris Dobson
The end of 2019 report from the Office Group shows city centre activity, when compared with 2018, down across all three areas – number of lettings, total floor area let and the average size of deal. In contrast the regional out-of-town sector showed a significant increase in the total floor area let. Combined 2019 out-performed 2018 writes Chris Dobson.
“Without doubt 2019 will be one of those years,” says Offices Group spokesman, Chris Pearson director of office agency at Naylors Gavin Black. “In years to come the macro political picture and the Brexit saga will be the subject of scholastic study such were the many unknowns across the country.”
Mr Pearson continues. “Faced with this uncertainty throughout 2019 the fact that we have let so much space both city centre and out of town pays tribute to the resilience of businesses and the overall strength of the region.”
The statistics compiled by Naylors Gavin Black, BNP Paribas Real Estate, Dunlop Heywood, Knight Frank, Cushman & Wakefield, Avison Young, Sanderson Weatherall, Lambert Smith Hampton and Bradley Hall, the main office agents in the region show 117,185 sq ft let in Newcastle city centre in 2019 and 766,850 sq ft let ‘out-of-town’ – 884,035 sq ft in total and exceeding 2018.
“Now that we are in 2020 the future is very much the focus for the future. The region is in good heart. We are faced with issues such as transport infrastructure. We await the forthcoming Budget to see what the promise to invest in the region turns out to be.
“Meanwhile the development programme such as The Vaux in Sunderland, Milburngate, Durham City and The Helix, Newcastle shows that the critical shortage of Grade A office space is being resolved through these developments and future ones such as Taras on the former Bank of England site and Marrico/Helios off Strawberry Place, both Newcastle city centre,” says Mr Pearson.