Take-up in the city centre in Q1 was at 115,722 sq ft which is 19% below the average Q1 take-up for the last five years.
There has been a lack of large deals, with the quarter’s biggest transaction being the 16,500 sq ft letting to HSBC at Redcliff Quay. However, there are numerous deals in the pipeline for Q2 which bodes well for the year to come.
With the improving economic climate increasingly leading to occupier confidence, demand is being driven by businesses seeking additional space for expansion, in addition to the normal lease-event driven churn.
Out of town take-up was particularly strong at 69,061 sq ft; well ahead of Q1 last year, which totalled 27,043. However, with half the take-up accounted for in just two deals, this may not translate into full year figures.
For a detailed breakdown of Q1 2014 take-up by grade, please click here or on Chart 2 to the left of this article.