The commercial space tenancy in Liverpool has been growing in central city area while spaces out of the city have not been as popular. Recent surveys have shown that a small number of big deals in this preferred area have contributed largely to the total tenancy in the year 2009.

The city centre has been consistently preferred as office space by many well known tenants. Two of the most significant deals were competed by the UK Border Agency and Merseytravel. While the Border Agency signed up for a 15 year lease in 220,000 sq ft of office spaces located at Old Hall Street at the Capital Building during the last month of 2009, Merseytravel completed a deal giving it a 30 year lease on 140,000 sq ft at the Mann Island development.

The two huge public sector deals boosted desk space rental rates here in central Liverpool to record levels with about 520,000 sq ft being let out in total. According to Liverpool Commercial Office Market Review 2009, there is a total of 519,274 sq ft of commercial space available in city centre. The 2008 rental figures were also surpassed in 2009 with total rentals touching 721,189 sq ft. However peak period figures from 2007 were still not achieved.

While there were optimistic business developments here in city centre, the market was not as good outside. A 33% fall was recorded in office tenancy rate with only 131,220 sq ft gaining new tenants. Another fact, which needs to be remembered, is that the two major tenancies were both relocations from within Liverpool itself.

Refurbished space was not as popular this year as the falling number of takers proved. As the Grade A office space still vacant fell to178,000 sq ft at the end of 2009, it was also evident that much of the new tenancy was due to just three major deals in this period.

This entry was posted on Thursday, February 11th, 2010 at 5:51 am and is filed under Economy, Public Relations, Real Estate Profits. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.