Spotlight:

Scottish Office Market

Scottish Office Market
Scottish Office Market

5 February 2018, by Savills Research

Occupiers are increasingly in search of more flexible lease terms amid geopolitical uncertainty and in 2017, average lease length fell by 6% on the previous year

Summary

■ Wider Scottish office market take-up reached 2.4 million sq ft during 2017, 14% above the previous 10-year average.

■ Edinburgh city centre marked a record year of office take-up during 2017, reaching 787,000 sq ft. One threat to Edinburgh's strong levels of take-up going forward, is the record shortage in supply.

 

■ With no speculative space currently under construction in Glasgow, we expect 2018 to be "the year of the pre-let".

■ Brent Crude Oil is now hovering at around $70 per barrel, providing the Aberdeen market with a much needed confidence boost.

■ Scottish office investment reached £608m for the final quarter of 2017, the highest quarter on record. This boosted total office investment in 2017 to £1.02 billion, a 50% increase on the previous 10-year annual average.

■ We expect serviced office operators to increase their footprint across the Scottish cities during 2018 as occupiers hunt for a "flight to flexibility".


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Articles from 'Spotlight: Scottish Office Market – February 2018'

Scottish office market

05 February 2018

Scottish office market

2017 marked a strong year in both the Scottish office occupational and investment markets with positive sentiment being carried into 2018

 
 

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Mike Barnes

Mike Barnes

Research Analyst
Commercial Research

Savills Margaret Street

+44(0) 203 107 5459