An upturn in the Cambridge office market with strong demand, particularly for Grade A space and the return of new build developments emerges with the latest Databook from agent Bidwells.
Harvey Bibby, head of office agency at Bidwells, said: “During 2010 the market rose steadily with a noticeable effect on stock levels throughout the region. Available stock fell from 1 million to 860,000 sq ft of the total built stock in Cambridge and a 10 mile radius.
“This is good news for landlords. The combination of improving take-up and shrinking availability has driven rents forward, especially on new Grade A and good quality second hand space. Take-up is now at 365,000 sq ft, a 50,000 sq ft improvement on the 2009 total.
Large lettings in 2010 included ARM Holdings extended its Fulbourn Road, Cambridge headquarters with a 30,000 sq ft addition. The firm is investing £2.5m into a new £6.5m Future Business Centre in King Hedges Road. Citrix and Broadcom took space in Building 101 on Cambridge Science Park. Elsewhere, MedImmune has taken a 22,000 sq ft office building on a 15-year lease at Granta Park Cambridge.
“All this inspires confidence and leads us to anticipate a rising market in 2011. We can expect to see a strengthening of demand for office space, and especially Grade A accommodation, as indicated by the take up and strong rents for Cambridge Science Park’s Building 101, which achieved around £26.50 per sq ft for it's most recent lettings.
“Particularly encouraging is the re-emergence of new builds - the iconic Botanic House on Station Road, Cambridge, and Microsoft’s new 85,000 sq ft office development at CB1, are both indicative of the renewed optimism in the office space sector”. 01223 559399.
Photo: The Station Road development
