Property agents are reporting the demand for office space in Manchester is expected to continue post-COVID-19, though there may be some changes.
With more people expected to work from home once the situation approaches normality, landlords will need to be more flexible about lease terms to attract tenants. Many companies are starting to operate again as restrictions are eased, but there is still uncertainty, which could mean a demand for shorter leases.
The director of OBI consultancy, Will Lewis, forecasts the end of long leases. He says:
“The days of landlords sitting there waiting for long leases are gone. Now even five years is a long time. They are going to have to change the way they work with tenants.”
Some companies may employ a number of workers who continue to work remotely, and this will decrease the square foot of office space they need. To make up for this loss of landlord revenue, it is predicted that the average rent of £36 per square foot for Manchester office space could rise to £40 per square foot.
Manchester is a city that has shown its resilience in the past, and its businesses will no doubt bounce back. The uptake of office space in Manchester may slow down, but office space deals are continuing to be complete.
As lockdown conditions begin to be eased as of June, the government is now allowing physical viewing for prospective office tenants and buyers to visit office space.