Want a thriving city? Have more quality office space…
The Centre for Cities (CfC) has released a report that claims successful city centres have offices making up almost two-thirds of the commercial space. It also states that in poorly performing city centres, offices account for less than a quarter of commercial space which results in weaker centres susceptible to the challenges from online shopping.
Commercial Partner Kevin Rogers notes the other findings:
- Industrial land is dominant in outside the city centre, with over 50% of suburban commercial floor space being industrial v 11% city centres
- The decline in demand for manufacturing space is a major challenge for developers and planner outside of cities as this has left large, vacant sites in need of expensive change
- The quality of office space is often higher in the suburbs than in city centres
- Local areas are focusing on their industrial strategies, but the barriers preventing businesses from moving into city centres needs attention
- New buildings alone will not revolutionise the economic performance of an area cannot change the economic performance of an area, particularly where a lack of skills is the main barrier
The CfC recommends that, to ensure an increase in productivity levels:
- In cities where the private sector is not leading on office development, cities should consider intervening to supply office space to meet demand from businesses that drive productivity
- Looking at the numbers of shops in a city centre – a city with a high % should convert some into residential and office uses
- Sufficient land for logistics MUST be released so that supply meets demand
Source: “Building Blocks, The role of commercial space in Local Industrial Strategies, June 2018”
If you need any Commercial Property advice contact our Specialist Team on 0800 088 6004.