Recent research from Metropolis suggests that central London grade A lettings and thus prime fit-out opportunities, have grown by 10% over the first 9 months of 2015, compared to the Jan-Sep period in 2014.
Midway between the Metropolis Fit-out Report of Spring 2015 and the planned Metropolis Fit-out Report for Spring 2016, interim figures suggest the interiors market based on central London tenants signing for space in newly constructed or recently refurbished buildings, has grown by 10%, from 5.4m sq ft of top grade lettings in the first 9 months of 2014, to 6m sq ft for the first three quarters of 2015.
Some of the largest grade A deals agreed so far in 2015 have included: The Financial Conduct Authority at the International Quarter, Stratford; Deutsche Bank at 10 Upper Bank Street, E14; Ashurst at London Fruit & Wool Exchange, E1 and Facebook at 1 Rathbone Square, W1.
Penson, HLW, HOK, Gensler, Pringle Brandon Perkins+Wil and MCM are among the architects to be appointed on large London fit-outs this year.
Looking ahead, recent research by Cityoffices, showed that although in 2015 London office construction paused slightly to around 11m sq ft of projectswith main contractors currently on site, there is now a wave of a further 7m sq ft of office projects at demolition or site clearance stage, where a construction start in early 2016 is expected. In addition, Metropolis figures for companies with London office requirements currently top 11m sq ft.
A recent report from property consultant BNP Paribas highlighted a rise in office relocation activity in Newcastle, with office take-up of over 363,000 sq ft in the first half of 2015. This was a 19% increase on the first half of 2014.
Although 95,000 sq ft of offices was let in Newcastle city centre in the first 6 months of the year, it was the out of town market which saw the most activity with 270,000 sq ft of offices let.
Office deals included iParadigms 19,000 sq ft move to Wellbar Central and Performance Horizon taking 9,800 sq ft at the West One building. Gardiner & Theobald, Adecco and Office Angels all took smaller offices. Out of town, CHP took 17,000 sq ft at Quorum Business Park; Bede Gaming at Great Park, Hewlett Packard and DNV took a combined 21,000 sq ft at Cobalt Business Park.
During Q3, Accenture has signed for a further 50,000 sq ft at Cobalt Business Park and Greggs has agreed a deal to a new 25,000 sq ft HQ at Quorum Business Park.
Current medium/large requirements being tracked by Metropolis include a tech company, a housing association and public sector bodies.
Late 2015 will see the completion of 35,000 sq ft of grade a offices at the Rocket office scheme at Stephenson Quarter in the city centre.