Birmingham Snapshot, July 2012
Report Authors: Colliers
Report Summary:
Take-up in Birmingham in H1 2012 has been below average, although Q2 transaction levels showed a marked improvement over Q1 of more than 70% quarter on quarter. Deal negotiations remain protracted and at the mercy of boardroom decision-making. Nevertheless, requirements are being revived. Microsoft is out again looking for 40,000 sq ft and Allianz (15,000 sq ft) and Capita (10,000 sq ft) have new searches.
The exceptionally limited number of development opportunities set to come to market over the next three years will help accelerate absorption of Grade A offering during the second half of 2012 and into 2013. While Birmingham does have a number of major projects proposed these remain longer term pipeline opportunities.
City core Grade A availability has continued its downward trend, as much due to absence of new supply as to any significant uplift in transactions levels. While Q1 take-up of Grade A space in the city core was extremely modest, Q2 has seen a significant improvement, rising from just 3,900 sq ft in Q1 2012 to 24,319 sq ft in Q2.
About the Author:
The Colliers International Research team provide expert advice and a wide range of specialist services to clients across the UK, including a property market forecasting capability.
Our Net Stock Absorption office research is at the leading edge and provides a unique insight into the health of the London and UK regional office market
