North-west office market 'sees rise in investment'

Office design news from Morgan Lovell

Published on 09-08-2010

A sustained recovery in the office investment market has been seen in the north-west over recent months, making it one of the stand-out regions of the UK in terms of recovery, a new report has shown.

Figures published by CB Richard Ellis (CBRE) revealed that during the first half of the year, £316.7 million was invested into the north-west office design and build market, with the most significant deal of the year to date taking place at 3 Hardman Street, Manchester for £180 million.

"The recovery in Manchester has been stronger than in other regional cities as vacant space has become so limited, creating scope for real rental growth," commented associate director in the capital markets team at CBRE North West Rehan Zaman.

He explained that Manchester has therefore now become a favourite spot for investment outside the capital.

Elsewhere, Andrew Burrell, partner in research at King Sturge, recently said projects in London are performing well and rents have remained stable in the capital over recent months.

He noted, however, that across Europe the situation remains "quite mixed".

Posted by Ian Johnson