One of the UK’s leading names in property, Lambert Smith Hampton (LSH), has revealed figures showing how Bristol’s office market set new records and performed better than all expectations following a stellar close in the final quarter of 2019.
Bristol’s City Centre market saw the completion of 28 deals in the final quarter of the year, producing a huge take-up of 332,438 sq ft, ahead of the 5-year average for the period. The deals brought annual total take-up to 693,909 sq ft which is ahead of both the 5 and 10-year projections.
Hartnell Taylor Cook’s partner in Office Agency, Chris Grazier, added: “2019 has shown how resilient the Bristol market is and this means that 2020 has good prospects not only for developers looking at delivering new build and refurbished buildings to the market but also for occupiers as a new wave of much-needed office stock enters the market.”
The strong market performance is predominantly down to BT’s pre-let acquisition of 200,700 sq ft at AXA/Bell Hammer’s Assembly – the largest deal on record for the City Centre market. However, other significant deals include Instant Group taking 33,000 sq ft at Temple Point and Bishop Fleming’s acquisition of 13,002sq ft at the 5th floor of Templeback.
Ian Wills, Director of Office Agency at JLL, commented: “BT was the standout deal of 2019 and illustrates how important new office supply is to allow major employers to grow in our city. Almost all new build and refurbished schemes in Greater Bristol saw deals in 2019 despite some challenging economic times”.
In addition to achieving the largest deal on record in Q4, the city also set a new record rent with the UK division of London-headquartered real estate firm ‘EPIC’ and their recent refurbishment of 22-24 Queen Square (£37.50psf) for a letting of 3,820sq ft to Shaw & Co.