The shortage of new Grade A office stock in the UK’s ‘big nine’ markets has driven the number of refurbishment projects to record high levels, according to Avison Young’s latest data.
Refurbishments currently account for 53% of the 2026 office development pipeline, up from 41% in 2025 and 33% in 2024. Total take-up reached 7.6m sq ft last year across the Big Nine office markets – 4% below 2024 and in line with the five-year average.
However, following a subdued year for development starts in 2025, the next three years are forecast to deliver just 840,000 sq ft of new space per annum, below the annual historic average of 2.5m sq ft, with refurbishments expected to help plug the gap.
Birmingham, Bristol and Leeds all set new rental records in 2025, with office take-up in Birmingham inline with the five-year average. Annual take-up in Bristol reached 926,000 sq ft – 21% above the five-year average and 8% above the 10-year average – and Leeds recorded take-up of 979,000 sq ft – 13% above the five-year average and 4% above the 10-year average.
Mark Robinson, principal and head of office agency, Birmingham at Avison Young, said: “Birmingham’s performance in Q4 underscores the depth of demand for high quality workspace, even in a challenging environment. The city continues to attract major occupiers seeking best‑in‑class offices, as demonstrated by EY signing for 94,000 sq ft at Three Chamberlain Square to relocate and increase its office footprint from nearby Colmore Square. With vacancy easing and prime rents holding firm, we expect 2026 to build on this momentum as organisations invest in space that supports talent, culture and long‑term business growth.”
James Pitt, principal and managing director, Leeds at Avison Young, added: “Leeds really finished the year in an advantageous position. Take-up in the final quarter pushed annual activity well above both the five and 10-year averages, which says a lot about the level of demand we’re seeing in the city. Two Wellington Place is an example of how the market is responding, with this Grade A upgrade of an existing building due to complete this year. The city centre continues to expand with new builds completing next year at Aire Park, attracting pre-lets to occupiers such as Eversheds Sutherland. Overall, confidence in Leeds remains high, and the city’s trajectory is firmly positive.”
Julian Watts, managing director, Bristol and South West at Avison Young, said: “Bristol continues to stand out as one of the strongest-performing cities within the big nine. The office market delivered an exceptionally positive year in 2025, marked by record headline rents in both the city centre and out-of-town markets. A major highlight was the largest city centre transaction in six years, with Hargreaves Lansdown committing to 90,000 sq ft at the Welcome Building.
“Annual office take-up reached 926,000 sq ft, surpassing the 10-year average and outperforming the previous two years. The city centre accounted for 604,000 sq ft, significantly above the 10-year average of 575,000 sq ft. With supply tightening and space under construction being pre-let, the market is poised for continued upward pressure on rents.”
