Deloitte’s latest Crane Survey has revealed that 1.5 million sq. ft of office space in Manchester is under construction. Six large schemes were started in 2017 to make this a record period for office space construction in the city.
The largest project is Circle Square, managed by the Bruntwood and Select Property Group. The two buildings in the project will provide 526,000 sq. ft of new office space.
Landmark on Oxford Road includes 178,000 sq. ft of office space. Another 114,000 sq. ft will be provided by the OneTwoFive project in Deansgate.
In 2017, an extra 1 million sq. ft of office space was available in the city. Most of the space (912, 000 sq ft) has found occupants.
Rents are high for office space in Manchester, averaging around £33.50 sq ft.
Of the new office space in Manchester, 72% is newbuild and 28% refurbishment of existing properties. New office building projects that have received planning permission but not yet started total around 3.5 million sq. ft. Most of these projects are set to start construction in 2018 or early 2019.
Simon Bedford of Deloitte commented:
“New office construction is regarded as a key barometer for the economy, the real estate industry, and ultimately, Manchester’s benchmark in its mission to achieve status as a global city.”
The Crane Survey looked at Central Manchester and Salford. The research for the report was carried out between January 2017 and January 2018, and shows that Manchester has established itself as one of Europe’s fastest-growing cities.