Office leasing activity in Leeds city centre reached 146,372 sq ft in Q3 – 7% higher than the same period last year and 47% higher than activity recorded in Q2 2024, according to the latest data from the Leeds Office Agents Forum (LOAF).
The out-of-town office market saw 22 deals totalling 112,893 sq ft complete in Q3 – the highest quarterly total since Q1 2021, and a 55% increase compared with the same period last year.
Key out-of-town deals included Persimmon Homes signing for 13,134 sq ft at Temple Point (pictured) and flexible office space provider 2 Work securing 10,026 sq ft at the Plateworks House in Seacroft.
In the first nine months of 2024, the Leeds city centre and out-of-town markets recorded 681,029 sq ft of transactions.
Clem McDowell, director from Carter Towler, said: “As city centre supply levels continue to tighten, upward pressure on rents remains. The highest prime rent achieved in Q3 was £39/sq ft, and prime rents are expected to reach the £40/sq ft plus mark soon.”
Eamon Fox, partner from Knight Frank, added: “It has been an encouraging quarter for the out-of-town market, which recorded its highest activity level in over three years. A series of significant deals underscores the strong demand for high-quality office space outside the city centre, where we are seeing an asset class start to compete with its city centre counterpart, in terms of sustainability, technology, transport and the decarbonisation challenge.”
