Manchester is outperforming other regional cities in England with new job creation and office take-up.
Manchester is the second largest tech hub outside London and this sector is the leading driver of demand for office spaces. More than 1.75m sq. ft of offices were delivered last year and now being occupied. This is 54% increase since 2009 and is the best years on record.
UK head of offices research at JLL, Elaine Rossall stated: “When thinking of the UK’s strongest property markets, Manchester continues to be in a league of its own. Job creation is at record levels and is spread across a range of sectors. Commercial development is increasingly catering to occupier demand and this is translating into positive, continued growth across the other property markets.
“The current strength is also against a backdrop of the UK economy performing better than expected in the run up to Brexit, with Manchester really bucking expectations.”
With a diversified and fast-growing economy, Manchester has a wide range of job opportunities and has witnessed the largest wage growth since 2008. This city is even forecast to gain an additional 10,000 office workers by 2021 than it did in 2018.
This growth in jobs, skilled workers, and wages positively changing the office, industrial, and residential property markets. There are a variety of new and expanding business hubs in this city in the Northern Powerhouse that will continue to have a major role in supplying the high demand for office space.
David Lathwood, lead director in the north-west for JLL, said: “Each year we look at the UK’s big six regional centres, it’s clear that Manchester isn’t just already outperforming other cities but that the opportunities in front of it are rich and diverse.
“This year, it’s also clear that Brexit uncertainty hasn’t had the same impact on occupier sentiment than it has in other areas of the country. The fact that we’ve had another record-breaking year of office take-up means the priority for the market now is ensuring that development rates can keep up.”