We continue to see great opportunities in 2017 and beyond for regional office markets
■ For the fourth consecutive year, total take-up in the UK regions, excluding London, surpassed the long term average of 9.1m sq ft, reaching an impressive 9.6m sq ft, despite a year of political uncertainty.
■ Perhaps unsurprisingly, regional supply levels have continued to fall across the UK regional markets, particularly within the M25 market.
■ Static or positive rental growth is forecast across a number of regional office markets in 2017.
■ Following a very weak third quarter, UK regional office investment volumes bounced back during the final quarter of 2016, to reach £1.4bn, 15% above the 10-year quarterly average.
■ While we expect overseas investors to remain prominent in 2017, we also expect the UK Institutions to resume activity.
■ UK regional prime office yields remain attractive at 5.25%, and having stabilised post EU referendum, we expect them to remain at this level.
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