fbpx
Out of Office

Out Of Office

12.02.20

In the context of the commercial property market, the 2016 EU referendum had a direct and undeniably significant impact on the sector, leading to a considerable slowdown in the leasing of offices across central London and major cities around the UK.

Over the following years, the market has rebounded, and leasing activity increased in 2019. Figures from leading UK consultancy firm DeVono Cresa reveal that businesses were still cautious regarding the volume of space leased. DeVono Cresa’s Head of Insight, Shaun Dawson commented: “Brexit is of course only one-factor influencing decisions on space planning, with others including the steady increase in the use of technology, the need for more agile working, and an increasing focus on staff wellbeing.

“Another sign of previous economic and political uncertainty is the uplift in interest in short-term and flexible leasing.”

According to DeVono Cresa’s 2019 data, all major business sectors saw a downwards shift in terms of space leases, with the average size of leased office space down 15% (11,040 sq ft vs 9,338 sq ft) when compared to the long-term average.

The political and economic uncertainty that Britain faces has caused businesses to hedge their bets on fully-serviced offices as a way to mitigate short-term uncertainty whilst also gaining better facilities in the process.

Unlike traditional offices, many serviced offices come with additional meeting rooms and at the higher-end of the serviced office spectrum, also contain perks such as on-site gyms.

Dawson remarks: “This analysis highlights how Brexit occurred at a time when the traditional office leasing market was going through a number of important paradigm shifts.

“As a result, DeVono Cresa believes it makes more sense to engage a trusted real estate partner to ensure that the search and selection process delivers the best space for the business – whether this is a move to a smaller space, a different type of lease, or even a different location.”

Following the December 2019 UK general election and the sizable majority held by the Conservatives, businesses across the board expressed tepid positivity and began to hold hope that the next phase of the ‘Brexit divorce’ -trade talks, would reflect positively on the UK. However, the outcome of such negotiations is far from guaranteed amidst the global Coronavirus outbreak that has the hearts and minds of Asian trading partners pre-occupied.

Despite the post-Brexit horizon being murky, there are some streaks of positivity, with record employment levels reported.

A reflective and upbeat Luke Philpott Joint CEO of DeVono Cresa concludes: “Global investment into the UK, and London specifically, is expected to pick up over the course of 2020, as greater political clarity and direction on economic spend has boosted investor confidence. Since the election, client search requests have risen by 40%.”

 

Abode Affiliates

  • Alleyne Real Estate
  • Blevins Franks
  • Coldwell Banker
  • Crane Resorts
  • Monaco Real Estates
  • RDO
  • St Francis Links
  • Unique Home Stays
  • Yoo
  • Worldwide Dream Villas
  • Enigma Yachts Limited
  • Cornerstone Tax Advisors
  • Pedini London
  • Alexander James
  • Moore Stephen
  • Ibiza Transit Express
  • Oyster Yachts
  • Jumeirah
  • Wall Street Luxury
  • Heron Real Estate
  • Edenhurst
  • MG&AG
  • Gama Property
  • Touch Design Group
  • St Edward
  • Ultra Villa
  • Luxury Italian Living
  • Habitat First Group
  • BDO
  • 7Storeys
  • Worldwide Property
  • Dimora
  • Dominic McKenzie Architects
  • Harry Manning
  • Smart Living
  • Isle Blue
  • MAS Marbella
  • Millgate
  • Jersey Finance
  • guernsey-relocations-logo
  • viberts-logo
  • kpmg-logo
  • author-interiors
  • Wilkinson Beven
  • BoConcept
  • Ante Vrban
  • Deborah Garth
  • You home
  • Ra Shaw Designs
  • Caudwell Collection
  • accanto-interiors
  • Fritz Hansen
  • capital-rise
  • jarrods-staircase
  • neil-davies-logo
  • Tina Shone Group
  • Taplow riverside
  • Aimo
  • ns-ceramics-logo
  • Rusk
  • Consilium Expert Group
  • Ben Krupinski Builder
  • Swoffers
  • Guernsey Relocation Services
  • Douglas Graneto
  • Strutt & Parker
  • wilsons
  • MJC Associates
  • plainspace
  • Fine & Country
  • Bramble Ski
  • Penthouse queen
  • Sarco_Affiliate_Logo
  • taylor wimpey
  • cooper-gardner
  • M Design Architects
  • codan
  • Lovells
  • London DE
  • HELENA JORNET FINQUES
  • Prime Lands Group
  • Bellegarde Estates
  • Sinclair
  • Pippa Paton
  • Ecole d'Humanite
  • Benedek Lewin
  • Inspired Villages
  • Huelin Homes
  • Gaudin
  • Lovells Property
  • Racecourse Lodge Logo
  • Paseo
  • Lemay + Escobar
  • Octagon
  • Locate Isle of Man
  • Newlands of Stow
  • Hawksford
  • Holdun
  • Schule Schloss Salem
  • AR Architecture
  • lazaro
  • Sella Concept
  • Blakstad
  • SAREG
  • miller interior
  • Wealth Club
  • Yellow House Architects
  • Designer Touches
  • Zafiro
  • Nicole Murray
  • Scout Boats
  • Emerson Insinkerator
  • Forsters
  • https://www.cullenhomes.co.uk
  • https://www.londonlight.works

Enter your dream destination