Waford

Despite the challenges presented by 2020, Watford was one of two markets in the SE 10 to record higher take up in 2020 than 2019, with 90,000 sq ft transacted. However, this was still some way short of the five-year annual average of 184,000 sq ft.

The positive Q3 performance was not matched in Q4 with only 12,000 sq ft of take up recorded; a 72% reduction. However, with new stock coming to the market and more in the pipeline, Watford’s strategic location and excellent road and rail connectivity, we expect the market to continue to see increasing demand. The standout transaction of the year remains PWC taking just over 28,000 sq ft at Columbia Threadneedle’s 40 Clarendon Road in March at a record rent of £36.50 per sq ft. The demand for quality space in the town centre was further demonstrated in Q3 with 15Marketing taking 8,700 sq ft on the Ground floor again at 40 Clarendon Road at the same headline rent.

Overall, with low levels of supply and the anticipated demand for well-located buildings to satisfy Hub and Spoke requirements, Watford looks to be set fair to benefit from increasing demand over the short to medium term.

Q4 TAKE-UP

Town Centre

0 sq ft

Out of Town

11,930 sq ft

Grade A: 4,530 sq ft

Grade B: 7,400 sq ft

ANNUAL TAKE-UP

WATFORD VACANCY RATES Q4 2020

7.2% 9.4%

HEADLINE RENT

Town Centre

£37.50 per sq ft

Out of Town

£32.00 per sq ft

KEY SECTOR ACTIVITY

Health & Social Care

7,396 sq ft (62.0%)

Transport

4,532 sq ft (38.0%)

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