Leeds city centre sees taken office space double in 2019

New research shows that Leeds city centre has seen a 47 per cent increase in taken office space for Q2 2019.

Around 213,341 sq ft of space is now filled, almost a half more of what was taken in 2018.

According to the Leeds Office Agents’ Forum (LOAF), 27 city centre office transactions were completed in Q2 2019.

The largest of these was the 135,915 sq ft pre-let to Sky Betting and Gaming/The Stars Group at 4 Wellington Place, which is due for completion in autumn 2020.

Jeff Pearey, director at JLL, said: “At the half year point, city centre transactional volumes already total 435,659 sq ft, 29 per cent higher than the same time last year.

“Despite some of the wider economic and political uncertainty, Leeds is certainly continuing to buck the trend with ongoing office requirements looking to be satisfied during the remainder of 2019.

“Looking ahead, we anticipate occupier activity will match, if not exceed, last year’s total of 663,233 sq ft.”

Continuing the interest in the city from co-working/service office providers, Regus Spaces acquired 23,428 sq ft in 7 Park Row, which was the only other city centre transaction above 10,000 sq ft.

In comparison, the out-of-town market witnessed more subdued activity. 18 office deals were completed in Q2, with take-up reaching just 34,103 sq ft.

The Forum is highlighting the lack of new Grade A offices as a key issue for occupiers wanting the best space in Leeds.

In the city centre, there is 13,000 sq ft of new build standing Grade A space currently available at 6 Queen Street while out-of-town Lumina, at Thorpe Park, will complete this summer adding much needed new supply.

As a result, the Forum anticipates office rental growth across the city for the rest of 2019 and potentially an increase in pre-lets, for larger businesses prepared to plan further ahead.

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