Research conducted by the Royal Institute of Chartered Surveyors (RICS) has revealed that demand for commercial property in Wales is on the rise.
The UK Commercial Property Survey revealed that in the last quarter of 2009 office space performed best across all commercial property sectors, with industrial space also faring well as Great Britain comes out of a recession. This comes in stark contrast to demand for retail space in the area, which has continued to fall with many town centres plagued by vacant storefronts. (more…)
Rental prices in the office space market have been falling since the start of the recession. Some areas have faired worse than others, for example the West End has seen the most significant falls – up to 40% down on the peak levels achieved before the credit crunch. As capital values fell and demand for workspace weakened, the market quickly fell heavily on the side of the occupier. Traditional tenants could barter for strong incentives such as rent free periods, while serviced clients were presented with rents for as little as Â£1.
This has meant that although many of the major providers, such as Regus, have grown during the recession in terms of the number of workstations that have been rented out as well as boosting profits significantly, profit gains possibly may not have been as high as they might have been if rental values had held up. Of course, if you are looking for office space, there is no better time to be shopping around. When a market has hit rock bottom, there will always be people looking for a bargain. And serviced offices offer unquestionable value for money, as well as flexibility.