Key highlights include:
- Lack of new supply has led to the Grade A city centre vacancy rate remaining at 1.3% and the prime rent at £35 psf pax.
- City centre supply is 21% below the 5-year average.
- Two speculative offices under construction in the city centre. The largest of which is about to be pre-let.
- Lack of high quality large office buildings has led to a subdued third quarter both in and out-of-town.
- Prime yield for Grade A offices let to the UK Government for 4.02%.
- Total investment volumes for the year-to-date stand at £195.02m, marginally behind the five-yearly average, while total investment volumes for Q3 alone were £165.45m from six transactions.
- The largest transaction of the quarter and year so far, was the sale of Temple Quay House for £73.35m. At 4.02% it is a record yield, outside of London, for a sub 20-year lease.
