The Newcastle office market made a strong recovery in Q2 2016 following a slow start to the year, with combined take-up for the city centre and out-of-town markets totaling 186,544 sq ft – well ahead of the five-year quarterly average.
At 132,582 sq ft (Q1 2016: 131,102 sq ft), take-up was dominated by activity out-of-town. However, the city centre saw the biggest recovery, with almost double the amount of space transacted in the previous quarter, at 52,977 sq ft (Q1 2016: 18,101 sq ft). This was boosted by Convergys’ 35,000 sq ft letting at The Rocket.
Despite this marked recovery, the impact of Brexit still remains with a number of requirements taking some time to progress, albeit the initial indication is that long-term requirements are still moving forward.