Prime rents in the South West of England are set to outperform those in the rest of the UK over the next three years across all commercial property sectors, according to GVA Grimley.
GVA Grimley’s latest Economic and Property Market Review finds no reason why the office rental growth of 10% achieved in Bristol city centre last year will not continue.
David Vale, partner in charge for GVA Grimley in Bristol, said: “The South West is running marginally ahead of the national level with an economic growth rate of 2% per annum.
“And although the region is forecast to revert to a growth rate slightly below the national average, business optimism will nevertheless remain high for the foreseeable future, maintaining confidence in the region’s commercial property market.”
“Confidence is particularly strong in the region’s service sector, and the offices market has outperformed the national average in rental growth.”
The offices market sector enjoyed 2.1% growth in the South West, compared with a rise of just 1% in the UK as a whole. Prime rents in Bristol city centre, however, increased by around 10%
Prime retail rents across the region grew by nearly 5% during 2001, although the prime retail zone A rent achievable in Bristol city centre remained stable at around £1,885 per sq m (£175 per sq ft).
EGi News 30/07/02
