Birmingham
Take-up
TOTAL TAKE-UP IN QUARTER (SQ FT)
CHANGE ON LAST QUARTER
CHANGE ON 10 YR QUARTERLY AVG
TAKE-UP (SQ FT)
Source: Avison Young
Birmingham saw a quieter end to 2024 with 173,000 sq ft of take-up recorded, this is 58% below the previous quarter and 37% below the 10-year quarterly average. Despite this, annual total take-up in 2024 reached its highest level since 2019 hitting 1.1m sq ft.
857,775 sq ft of take-up was recorded in the city centre in 2024, 22% ahead of 2023 levels and 15% ahead of the 10-year annual average.
The Government and Services sector drove demand levels in Birmingham city last year, accounting for 40% of take-up. Education & training providers fall within this sector and notable deals from these education providers include; Aston University’s 190,000 sq ft lease at 10 Woodcock Street and University College Birmingham’s 44,670 sq ft lease at Baskerville House, Broad Street.
Occupier appetite for the best spaces drove annual prime city rental growth of 5% in 2024 with rents standing at £43.25 per sq ft at the end of the year. Rent frees remain at 24 months on a 10 year lease.
NOTABLE DEALS
Source: Avison Young
PRIME RENT
Per sq ft
Quarterly change
Source: Avison Young
12 month change
Rent free months (10-year lease)
TAKE-UP BY SECTOR
Source: Avison Young
ANNUAL TAKE-UP (SQ FT)
Source: Avison Young
Availability
AVAILABILITY RATE
CHANGE ON LAST QUARTER
CHANGE ON LAST YEAR
AVAILABILITY (SQ FT)
Source: Avison Young/CoStar
The vacancy rate rose to 10.2% in Q4 from 9% the previous quarter. Premium space remains undersupplied with Grade A availability at 2.2%.
Development pipeline
DEVELOPMENT PIPELINE (SQ FT)
Source: Avison Young, PMA
Just one scheme of 189,000 sq ft is under construction in Birmingham at 3 Chamberlain Square, the Federated Hermes scheme is due for completion in Q2 2025.
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