A study into the commercial property market released at the beginning of June by Rightmove shows that activity in the sector has quickly recovered to pre-lockdown levels. Rightmove claims to be the UK’s largest online commercial property agency, and has reported that enquiries in May were 6% higher this year than in May 2019. Their research reveals that the sectors showing the most activity were industrial and logistics premises, land and development opportunities, and retail and office space.
The increase in interest corresponds with the government’s plan to ease lock down restrictions in the property sector from May 10th. Alex Solomon, Director of Rightmove’s Commercial Real Estate web operation said: “It’s good to see all sectors recovering following the dramatic fall in demand during March. The relative recovery also makes sense as we see demand for industrial leasehold properties that help service the retail warehousing sector forge ahead at the fastest rate as home delivery makes a huge contribution to the UK population during lock down.”
Commenting on the Rightmove survey Charles Binks, Head of Industrial and Logistics at Knight Frank, said: “The Rightmove data echoes what we are seeing on the ground across our network. In addition to a surge in post Covid-19 short term requirements, we have started to see an increase in longer term enquiries across all size bands, with enquiry levels ahead of last year.”
To read the study in full go to: Commercial property is staging a recovery
Of course not all commercial property owners and occupiers are so optimistic, and many are experiencing extremely difficult trading conditions. However, just as some businesses will want to down-size their operation there may be others looking to increase their floor space in order to comply with social distancing requirements. In the longer term no-one can predict the effect the increase in home-working will have on city centre office space, and so fluctuations in the market will continue for many months to come.
Bretherton Law have been serving people and businesses in Hertfordshire for over 50 years. If you are buying or selling business premises, looking to lease a new property, or subject to a rent review our experienced Commercial Property team will give you honest, professional advice. Contact Osman Dervish on 01727 869293, or us the contact form below.
