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November 29, 2024
Alex Timperley
5 mins
Manchester’s office market is enjoying a strong finish to the year. New research from Savills shows that take-up is scheduled to hit 1.3m sqft this year – a post-Covid high, and 42% up on the 10-year average.
November has played its part in that success story. More big moves have happened, brand new spaces have arrived on the market and eagerly anticipated future projects have taken steps forward.
There’s loads going on in the city and we’ve gathered some of the most interesting stories here for our November 2024 Manchester office market summary.
Last month we highlighted two landmark deals at St. Michael’s as AXA and Channel 4 both announced they were moving in and expanding respectively.
Now, they will be joined by London investment bank Cavendish which is expanding into Manchester for the first time.
They will be opening their doors in January and represent another major win for Gary Neville’s new building which is fast becoming one of the most desirable and in-demand office locations in Manchester.
Co-chief executive of Cavendish John Farrugia said: “As market confidence strengthens, we anticipate strong activity in both public and private company deals.
“With our integrated capabilities across these sectors and our recognised sector expertise, we are better positioned than ever to support a wide range of businesses.
“Our new presence in the North West, a dynamic hub driving economic growth across the UK, ensures we are well-equipped to help more UK-based businesses achieve their ambitions and contribute to the continued expansion of the UK’s real economy.”
This is a big move for Manchester and the city’s thriving financial services industry. We are looking forward to seeing how the sector expands further in 2025.
Howden Group has launched its new North West headquarters with the opening of Howden House on Chapel Street which will be home to 200 insurance professionals.
The company aims to become the primary insurance provider for individuals and businesses across Greater Manchester and the surrounding area.
Carl Shuker, CEO of Howden UK & Ireland, said: “Howden House is not just a physical space; it’s a commitment to our growth in the North West and our dedication to providing exceptional service.”
This is yet another success for Manchester in the professional services sector following similar expansions in the city from Newline Group and AMS Group in recent months.
Parker Neal has taken space at DiSH as it continues to grow and deepen its collaboration with other businesses in Manchester.
The company provides cyber security, data privacy and governance solutions to clients nationwide, and joins other similar firms in the Barclays Eagle Labs location - a key way that tech businesses can align their workspace with the company's growth plans.
The space is ideal for growing technology firms and provides a platform for them to scale up effectively.
Co-founder Dave Parker said: “It enables us to get all ofthe support we need to drive business growth. It opens doors into other areas that we wouldn’t necessarily have had access to otherwise.”
Parker Neal will be hoping to follow in the footsteps of other companies like ESProfiler which outgrew Eagle Labs thanks to the support and community on offer there.
Island is the latest new office development from HBD and it has now achieved practical completion. That opens the door for tenants including Virgin Media O2 which has signed a 10-year lease in the building and will bring hundreds of staff into Manchester city centre.
The 100,000 sqft space is a net zero carbon, smart tech enabled office which has achieved BREEAM ‘Excellent’ rating, EPC A and a 5* NABERS Independent Design Review rating.
It’s the latest evidence that sustainability is one of the top concerns for businesses now, and a sign that we should expect to see more similar workspaces in the future.
As the flight to quality continues, buildings like Island which provide an enhanced environmental rating and much reduced carbon impact will become increasingly attractive to businesses making value-based decisions.
Mayfield is one of Manchester’s most significant regeneration areas which has already delivered a huge amount of development for the city.
Centred around the old Mayfield Depot, the site now features a new park, the Warehouse Project and more. In the future, it will become one of Manchester’s finest mixed-use neighbourhoods with the addition of housing, retail, a hotel, leisure buildings and office space.
Now, it has been confirmed that the office space will begin construction in 2025. Mark Allan, chief executive of Landsec, said: “I am very confident we will start with the office phase next year.
“That will bring a vibrancy to that area within the next two to three years and, more importantly, that will unlock the opportunity for residential later on.”
That’s big news for Manchester’s office market. In particular, large enterprises planning to rent an office in Manchester in a few years’ time should be keeping a close eye on the Mayfield site and its potential.
Finally, a £4m refurb of Arkwright House has been announced that will commence before the end of the year and complete in 2025.
The refurbishment of the building, owned by Hillcrest, includes a redesign of the historic building’s reception to pay homage to the building’s Art Deco heritage and the addition of a business lounge, fully fitted and furnished office suites, a wellness centre, and a gym.
Combined with an outstanding location next to Parsonage Gardens, the refurb will make the space one of the finest in the city.
Home to flexible workspace operator Orega, the building will be a hotspot for high quality Manchester flexible office space for years to come.
Want to learn about workspace in Manchester and find a flexible office to rent in the city? Get in touch with LEVEL today for a discovery call and learn how an office move can benefit you.
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