Office space market conditions in Manchester improved in the last quarter of 2009, new figures have revealed.
According to a study conducted by commercial property consultancy DTZ, some 332,000 sq ft of office space was leased out in the final three months of the year in Manchester city centre.
The period was marked by a number of big deals, all of which involved Manchester City Council. Of these, the largest was for 145,000 sq ft of space at Ask Developments’ First Street.
Two further deals for 26,000 sq ft in Elliot House on Deansgate and 9,300 sq ft space on Universal Square in Ardwick were also completed in the final quarter.
The late surge brought the total amount of office space leased for 2009 to 809,000 sq ft. This represents a drop of 20 per cent from the average over the last five years.
Commenting on the findings, DTZ stated: “After a relatively strong period of completions in 2008 and 2009, development is expected to fall back sharply from 2010 onwards.
“Availability is likely to have peaked in 2009, but it is likely to remain elevated over the short term, in line with subdued leasing activity, particularly for secondary grade space and lower.”