Markets defy downturn - commercial mortgages

01 May 2008

In news which may encourage those with or seeking commercial mortgages, it has been reported that some local commercial property markets are defying the credit crunch.

Property consultants Sanderson Weatherall said the Leeds city centre market is performing well, with 135,000 sq ft of office space being let out in the first quarter of 2008, reports the Yorkshire Post.

This was down a little from the 148,180 sq ft let in the same period of 2007, but this is still in line with the long-term average, the company has stated.

Sanderson Weatherall did add that, in contrast, the out-of-town market did see a substantial fall in letting.

However, out-of-town developments are doing well on Teesside thanks to sensible rent pricing, it has been suggested.

Stephen Rose, commercial sales and lettings manager at development firm Mandale, told the Evening Gazette: "In my experience, local developers are still finding occupants for their schemes".

The paper said that recent figures from the Royal Institution of Chartered Surveyors Commercial Property Survey had shown no change in demand for commercial property in the north-east.