Annual Office Take up Rise in Sheffield

22nd January 2015

Sheffield, UK - Office take up in Sheffield and its suburbs improved on 2013 figures to just over 270,000 sq ft for 2014, according to research by Knight Frank and Creative Sheffield.

Data collected by Creative Sheffield and the city's commercial property agents has revealed sales and lettings accounted for approximately 272,000 sq ft of office space between January and December 2014 compared to 255,000 sq ft in 2013. Knight Frank's agency team was involved with approximately 68% of the office space transacted during this period. Major deals in the second half of the year included 20,700 sq ft at The Straddle for health technology company Servelec and the establishment of a European HQ and contact centre for health assessments by Instant offices into 11,000 sq ft at Northbank. Other transactions in the city included Price Waterhouse Coopers move into 7,000 sq ft at No. 1 St Paul's Place; XLN Communications' move into 14,500 sq ft at Northbank and Places for People into 7,000 sq ft on the top floor of Saville House. But it has not all been about huge moves. Many of the deals completed between October and December this year involved companies moving to premises less than 5,000 sq ft, including lettings in Velocity, Peel House, Fountain Precinct and The Balance. With supply diminishing, Knight Frank expects rent levels to increase and occupier incentives to harden over the coming year. Looking at future city centre office supply, Knight Frank has also been appointed to market the third and final phase at the St Paul's Place development adjacent to the Peace Gardens. Work has now commenced on No.3 St Paul's Place which will deliver a prime, Grade A, 80,000 sq ft office building, due for completion in December 2015. Peter Whiteley, partner at Knight Frank, said: "Sector wise we are seeing a strong mix of recruitment, medical, digital, software and charitable organisations either expanding or relocating to Sheffield with most looking to upgrade their accommodation. "What it does show is the commitment to Sheffield is strong with both small and large companies pledging their allegiance to the city through commercial property." The hard work has paid off for the team at Knight Frank who won a major national property listing for the second successive year. It took the accolade of Sheffield's highest performing agency in the EGi office agents league tables which lists agencies based on their levels of activity. Peter added: -The listing as Sheffield's highest performing office agency team is testament to the hard work of our team. It is a great accolade, particularly to be listed for the second time in two years. We take a huge amount of pride in knowing the Sheffield market and its various business sectors so well - and because of this, we are able to respond quickly to changing market circumstances and opportunities."