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PRIVACY
Commercial Property

Public sector deals lead lockdown office activity in Birmingham

Two lettings make up majority of tenancies signed in the three months after the coronavirus lockdown started

A ten-year deal at B1 in Birmingham was the largest office lease signed outside London in the first quarter of lockdown

Public sector deals accounted for the majority of office activity in Birmingham in the three months after the coronavirus lockdown started.

A total of 61,474 sq ft of city centre office space was let in the quarter starting March 16 and just two of those deals made up more than 54,000 sq ft.

In June, the Ministry of Housing, Communities and Local Government agreed a lease on 48,787 sq ft of space at B1 in the Jewellery Quarter although it is believed the offices will house staff from the Department for Work and Pensions.

Also signed during the past quarter was 5,249 sq ft at Edward House, in Quay Place, with the Ministry of Justice.

The ten-year B1 lease was the largest signed outside of London in the quarter while the public sector accounted for a fifth of all take up in regional markets.

Total office activity in Birmingham in the first half of 2020 now stands at 400,000 sq ft, according to the newly published research by property consultancy Avison Young.

The agency said it was starting to see an increase in demand as lockdown restrictions were eased with activity expected to grow over the next quarter.