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Commercial Property

Sharp fall in new development starts in Birmingham

Deloitte's annual Crane Survey says there was a 50 per cent drop in the number of property projects commencing but the city remains an attractive draw to investors

There was a sharp fall in property developments starting in Birmingham during 2019

The number of new property projects starting on site in Birmingham during 2019 more than halved compared with the previous year, according to a new report published today.

The annual 'Crane Survey', published by Deloitte Real Estate, said there were just 11 new starts last year, compared with 23 in 2018, while the number of ongoing projects increased from 38 in 2018 to 41.

The annual report analyses the level of activity across the city, both new build and refurbishment, across residential, office, student housing, hotel, retail, leisure and education properties.

Construction work started on seven new residential projects last year, including Jewellery Quarter sites Lionel House and Derwent House, while 4 St Philip's Place and Six Brindleyplace were among four new office schemes to commence.

Birmingham compared less favourably with other cities featured in the annual report with Belfast and Leeds both registering 12 new starts and 22 in Manchester.

A new record was set for the volume of office space delivered to the Birmingham market as it hit 775,000 sq ft across a mix of new build and refurbished office space.

This surpasses the previous Birmingham Crane Survey record set in 2017 by more than 250,000 sq ft and, for the fourth consecutive year, office development surpasses one million sq ft under construction.