Research and Markets: The Commercial Office Construction Market in the UK, 2010-2014: Medium Term Prospects in the Private Commercial Office Construction Sector are Optimistic
Research and Markets (http://www.researchandmarkets.com/research/d4e956/commercial_office) has announced the addition of the "Commercial Office Construction Market - UK 2010-2014" report to their offering.
The 2nd Edition of the report Commercial Office Construction Market - UK 2010-2014' provides a comprehensive review of the office construction and property market. Following a period of strong growth up to 2008, the commercial sector has experienced a tough period in 2009/10, but medium term prospects are more optimistic in the private sector, though the public sector will see some decline.
Over the last two years, the commercial office market in the UK has experienced a significant downturn in activity and demand has reduced significantly. Take-up for 2009 was around 30% below average levels and totalled around 17m sq ft. The slowdown in activity has been most significant in the South, particularly south eastern, south western and eastern regions, where take-up has been down by as much as 40%. By contrast, the Midlands, Scotland and Northern regions have shown a greater resilience to the slowdown, with take-up levels down by between 4% and 20%.
Early-mid 2010 has seen some tentative signs of an upturn in the market, with the Central London office market leading the recovery, accounting for 62% of take-up activity in Q1 2010 - the highest quarterly take-up in five years. While this has been sustained into the middle of the year, it is too early to determine the impact of the CSR spending cuts on business confidence and new project development in the offices sector.
The Coalition Government's programme outlines a wide range of new measures that will influence and shape commercial development activity and impact on the property industry including the radical shake up of the planning system, centered on devolving greater powers from Whitehall to local government and removing regional governance.
Although the more positive performance for the private sector in Q1 2010 seemed to indicate a return to growth for the office sector, the decline in private commercial activity in Q2 2010 coupled with the ongoing spending cuts in the public sector both point to further decline in office output over the next three years. Forecasts indicate a decline in construction output values to around 7.3bn before expectations of growth 2013-14 push output value to around 7.8bn - though still 43% below pre-recession peak.
Key areas in the report:
- Continuing impact of economic downturn on developer activity in private commercial office sector.
- Detailed assessment of new build office construction output together with forecasts up to 2014.
- Demand, availability, take-up rates and rents - Central London office market and key regional markets in Birmingham, Bristol, Cardiff, Edinburgh, Glasgow, Leeds, Liverpool, Manchester, Newcastle upon Tyne and Nottingham.
- Office development pipeline for London and the regions through to 2013 - key commercial office schemes currently under construction.
Key Topics Covered:
- The Commercial Office Market In The UK
- Performance Of The Commercial Office Sector
- Regional Office Markets
- London Office Market
- Business Parks In The Uk
- Office Development In Regeneration Areas
- Impact Of The Economic Downturn And Outlook For The Commercial Office Market
- Construction Market For Commercial Offices
- Factors Affecting The Commercial Office Market
- Construction Market Supply In The Office Sector
Companies Mentioned Include:
- Balfour Beatty Construction
- BAM (Formerly HBG)
- Derwent London Plc
- Development Securities
- Great Portland Estates
- Heron International
- Ibex Interiors
- Interior Services Group (ISG)
- Miller Construction (UK) Ltd
- Morgan Sindall
- Morris & Spottiswood
- Shepherd Construction
- Terrace Hill Group
- Wates Group
- Willmott Dixon
For more information visit http://www.researchandmarkets.com/research/d4e956/commercial_office
Research and Markets
Laura Wood, Senior Manager
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