Although recording a strong Q4 end to the year in the Thames Valley Office Market, 2017 annual take-up fell back slightly, in comparison to 2016. The active sectors were technology media and telecommunications, and finance banking & insurance.
Lambert Smith Hampton’s Thames Valley Office Market Pulse, which provides a detailed insight of the region, found that enquiries, supply and demand all fell behind year on year.
The investment market in 2017 saw a total take up of £1.88 billion against £2.28 billion in 2016. This is due to a lack of stock, with demand remaining strong from UK institutions, overseas buyers, property companies and private investors.
Charlie Lake, Director of Capital Markets at Lambert Smith Hampton said:
“The Thames Valley continues to attract investor demand from a global audience. The established business parks have attracted overseas equity, enabling deployment of significant capital in single or combined estates.
“We have also seen continued appetite from local authorities and the UK institutions focussing on town centre opportunities. With the supply and demand dynamic in the occupational market looking encouraging for 2018, the challenge for investors will be sourcing suitable opportunities in an increasingly tight market.”