Edinburgh Q2 report details changeable market
Research into the commercial property market in Edinburgh shows peaks and troughs of recovering market
A report has been released detailing the commercial property market in Edinburgh following the recession. Currently, the city is experiencing ups and downs with take up in the city centre falling by 63,000 sq ft overall as according to research from Property Week by DTZ Research ‘activity continues to be erratic from quarter to quarter’. Availability has fallen and occupied office space is being underused, which may be good news for tenants looking to move offices to Edinburgh as they may pick up on a deal in their favour.
Research into the Edinburgh office market suggests that availability will rise and reach its peak over the remainder of the year. The availability of Grade A office space will decline but prime headline rents are set to remain stable. Figures for prime yields have settled at 6.00%. Thankfully the UK economy is set to undergo a slow recovery but it is at last in positive growth at 0.3 percent in Q1 which should indicate a direction that the overall commercial property market is heading in.
Office transactions in the city centre are all towards the lower end of the market with nearly all deals coming in under the 10,000 sq ft mark. Prime rents and incentives are still at £26.50 per sq ft and seem to be part of a wider range of packages available to new tenants, which is good news for office movers.
