The Leeds commercial property market has continued to prove its resilience, showing pleasing signs of recovery. City centre take-up has increased 6.3% in the third quarter compared to the same period of the previous year. Deals covering 123,303 sq ft were completed in the third quarter, including the much publicised move of the Yorkshire Post and Yorkshire Evening Post from their iconic headquarters on Wellington Road to the 122,000 sq ft No 1 Leeds on Whitehall Road.
The first nine months of 2012 has seen 335,590 sq ft of space let, 18,651 sq ft more than was let in the first nine months of 2011 according to the figures provided by the Leeds Office Agents’ Forum.
Alex Duckett, from Knight Frank and spokesperson for the Forum, said, “Despite tough market conditions the Leeds market has proved to be incredibly resilient in what is traditionally a quieter period during the summer months. Optimism remains amongst the Forum that full year city centre take-up will be in excess of 400,000 sq ft, which is higher than both the last two full year totals.
“Over half of all city centre space taken in the quarter was Grade A depleting even further the supply of good quality, large foot plate stock in the prime core. With a raft of lease events on the horizon affecting major occupiers this lack of built stock will lead to pre-let opportunities for well-funded developers and indeed there are several known requirements currently in the market.”
Outside of the city centre, however, the market took a bit of a hit, with 21 deals covering 60,045 sq ft completed, which is a decrease of 3.8% on the same period.
But that small blemish is not enough to spoil the bigger picture, with the nine month total standing at 274,004 sq ft, towering over the 167,867 sq ft let in the first three quarters of 2011.