Steady leasing activity continued in the final quarter of 2019 reaching 663,970 sq ft across the South East, 11% down on the five-year quarterly average. This brings 2019 take-up levels to 2.5m sq ft, down 26% on the previous year and 16% below the five-year annual average (2014-18).
The largest deal to complete in Q4 2019 was L’Oreal’s 120,000 sq ft acquisition at Gateway Central, White City Place. Another notable deal was Maersk taking 37,544 sq ft at Mallards Reach, Bridge Avenue. The out of town market finished the year strong accounting for 54% share of total take-up, up significantly from 2018 (45%) and also the highest proportion of take-up since 2015.
Demand in the Serviced Office sector slowed in 2019 taking a 10% share of total take-up volumes in the South East, down on 18% the previous year. 2019 Serviced Office deals include Mindspace at The Metro Building and Hana at 245 Hammersmith Road both in Hammersmith, two new Regus centres and Arena Business Centres in the Thames Valley.