Despite the second lockdown in 2020, the Central London office market experienced a strong rebound in investor interest. £4.3bn of office assets changed hands in Q4 alone, with overseas investors dominating activity.
Given the extent to which the Oxford’s science, medical and technology sectors have stepped up during the pandemic, it is perhaps unsurprising that the office and laboratory markets have fought to keep pace. The pressure of demand has continued to drive rental growth during the crisis and prime rents have increased 41% over the last three years.
Bidwells' latest Market Databook research reveals the second half of 2020 saw office and laboratory take up return to trend levels following a COVID-19 disrupted H1. Cambridge has been on the axis of the UK pandemic response sustaining business activity across the city. The market has seen take up continue across a range of business sectors, but dominated by knowledge intensive industries.
As the tech sector and associated businesses rise to the pressures and opportunity presented by the new reality of COVID-19, there was, inevitably, going to be a real world impact of the virtual change. This has been exemplified in the Milton Keynes office market. Read our blog to find out more.
The pandemic inevitably had an immediate impact on the London office market, as requirements were placed on hold. But, having entered the crisis from a robust position, the West End market has the capacity to work through the longer term implications of the ‘new normal’.
The Milton Keynes office market saw take up return to trend levels during H1 despite the pandemic disruption. SME activity has remained strong and those businesses seeking larger floorplates face a challenge with the supply of Grade A space standing at a 15 year low.