City''s office market boosted by new figures - commercial mortgages

27 June 2008

In news which may interest those with commercial mortgages, new research has suggested that the commercial office market in Leeds is in a healthy state.

Property consultancy Colliers CRE has revealed that over 600,000 sq ft of space - of which 48 per cent was grade A - was taken up in 2007, the Business Desk reports.

Figures for net stock absorbtion in the city centre, measuring the next occupation of stock in any given market, remained positive, the director of Colliers'' Leeds office Roddy Morrison told the website.

Mr Morrison explained that while the overall occupation level was lower, this was down to some facilities being withdrawn to be refurbished or redeveloped.

Despite this, he said: "Overall occupation in the city core rose by 1.1 percent year-on-year in line with central Leeds as a whole, which rose by the same amount staying at 91.2 percent at the end of 2007."

Grade A space occupation was up by 25 per cent, Colliers noted.

Another item of news which may encourage those with commercial mortgages is the state of shopping centre investment.

The last week has seen two shopping centre deals totalling a combined value of £185 million taking place.

La Salle Investment management has bought Lion Walk in Colchester from F&C Investments for £69.6 million, while Ulster-based Moyallen Holdings has paid £116 million to British Land for the Peacocks Centre in Woking, Property Week reports.