Solihull and M42 office market sees strong start to 2024
Solihull and M42 office market has seen a strong start to 2024 with several deals close to completion according to KWB’s latest research.
KWB says the deals underway will boost the outlook for both Q1 and Q2 of the year ahead.
Take-up throughout 2023 totalled 133,337 sq ft across 33 transactions, compared with a 10-year average of 295,269 sq ft.
The largest transaction of 2023 was to serviced office provider Orega, which took a 30,633 sq ft space at Ingenuity House at Bickenhill Lane, Solihull in Q3.
Out of the year’s 33 transactions, 27 were for space under 5,000 sq ft mainly at Birmingham Business Park, Coleshill or Solihull town centre.
Q4 of 2023 saw eight deals totalling 26,627 sq ft, representing 20% of annual take-up.
The quarter’s largest transaction was to another serviced office provider, IWG, which signed up to 13,430 sq ft at 6060 Knights Court on Birmingham Business Park.
Also joining IWG at Knights Court in Q4 was a civil engineering company, Galldris, which took 3,057 sq ft, marking the second-largest transaction of the quarter.
Malcolm Jones, director at KWB, said: “While the M42 and Solihull office market remained active throughout 2023, neither this nor the Q4 figures were representative of the activity currently in play considering the number and size of deals nearing completion at year-end. These will carry over into 2024, helping deliver a healthy Q1 and Q2.
“Trends continuing from 2023 into 2024 include the prominence of transactions in the serviced office and education sectors and demand for space that prioritises health and wellness and access to the transport network. The 14,792 sq ft newly refurbished Nelson House at Blythe Valley Park, which recently hit the market, ticks both the wellness and accessibility boxes and we expect it to be snapped up very soon.
“With very little freehold space in the current market, there is low supply and high demand. So if you’re thinking of selling or have a lease break coming up, now is a good time to make a move.”
