Take-up in the Leeds office market in Q2 has been relatively subdued: a total of 103,729 sq ft transacted within the city centre this quarter, which is approximately 50% down in comparison with the same period in 2013.
Unlike last year the market has not yet recorded any significant pre-let transactions and there was only one transaction over 20,000 sq ft completed, compared with three in 2013.
The SME sector has dominated in Q2 and 73% of deals were for less than 5,000 sq ft. While take-up in 2014 is down on 2013, occupier demand remains relatively buoyant with a number of ‘larger’ corporate lead transactions expected to be recorded in the second half of 2014.
A theme which has now become common place in the market is that more occupiers are attracted to high quality space, with only 16% of deals recorded in 2014 for poorer quality grade C stock.