The office space market in the South East will recover faster than the rest of the UK, a leading French investment bank has predicted.
Addressing delegates at the annual South East Seminar, Simon Fitch, Director at BNP Paribas Real Estate, said that although take-up in the region would be slow this year, a surfeit of refurbishment opportunities will fuel a dramatic turnaround soon.
The bold forecast comes despite take up in the area standing at just 2.2 million square feet. This represents the lowest total for 20 years.
He said: “With economic conditions gradually improving we expect to see the return of occupier demand towards the end of next year.
“In most locations, this will translate into rental stability and then into a degree of rental growth in 2011.”
News of Mr Fitch’s speech comes after BNP Paribas recently announced the forthcoming launch of a new UK property fund. The bank is currently seeking investment of around £150 million for the fund by the end of the year.
Tags: south-east