Strong start for Scottish property

Strong start for Scottish property

Increasing demand and a lack of supply has helped Scotland’s commercial property market start 2016 on a strong footing.

According to CBRE’s 2016 office market research almost 600,000 sq ft of office space was occupied during the first quarter of 2016 in Edinburgh and Glasgow alone.

This was aided by Napier University’s deal to acquire 107,514 sq ft of space across three buildings at South Gyle Business Park in Edinburgh and Morgan Stanley signing a pre-let for 154,814 sq ft at Bothwell Exchange in Glasgow.

Audrey Dobson, senior director in CBRE’s National Office Agency team in Glasgow, said:  “We’ve seen unprecedented levels of take-up in the city recently and this has continued in the first quarter of the year. With such little space left, occupiers looking for Grade A accommodation will be forced to consider pre-let opportunities.”

Speaking on the shortage of office space in the capital, Stewart Taylor, senior director in CBRE’s National Office Agency team in Edinburgh, added:  “With only two speculative schemes under construction totalling 110,500 sq ft, completion dates for other proposed schemes continuing to be put back and several large requirements in the market place, there will be tears before bedtime.”

The report also highlighted how the creative services sector continued to be a dominant force in the Edinburgh market, accounting for almost one third of take-up in quarter 1.

The biggest deals included Cirrus Logic at Quartermile 4 (70,041 sq ft) and Origo Services at Edinburgh Park (10,971 sq ft).