Sheffield’s office market has had its most encouraging quarter to date, with combined take-up for the city centre and out of town markets reaching 170,980 sq ft in Q2.
At 286,657 sq ft, total take-up for the first half of this year has almost surpassed 2014’s full year total of 289,176 sq ft; a clear indication that market conditions are significantly improving.
The largest deal of the quarter was Lambert Smith Hampton’s acquisition of the Old Post Office in Fitzalan Square for Sheffield Hallam University. Even excluding this one deal, which distorts the figures slightly, almost 150,000 sq ft of space was occupied; 34% ahead of the same period last year.
Despite the number of transactions more than doubling in comparison to Q1 2015 - from 13 to 28 - the average deal size remained low at 5,741 sq ft, with almost three quarters of the transactions falling below 5,000 sq ft; an indication of the high level of churn within the SME sector.