Sustained demand for commercial property in the UK now stands at its highest since 1998, a survey has revealed.
The latest commercial market survey from the Royal Institution of Chartered Surveyors (RICS) said the rise in demand and a surge in investment reflected the widening economic recovery.
Yorkshire and Humber saw a significant rise in demand for office space during the first quarter of 2015 – with 38% more respondents reporting an increase in prospective interest.
Since the end of 2012, demand for commercial property in the region has risen rapidly, but the resulting tightening of the market has seen rents rise and availability fall, with 22% more surveyors in the region seeing a fall in the availability of commercial space and almost one in four expecting rents to rise rather than fall over the coming three months.
Graeme Haigh, of , Bramleys in West Yorkshire, said: “We’ve seen more activity but no sign of any significant price push and a shortage of supply of good quality units in most sectors is emerging.
“This may push up prices for the better quality stock in the coming months.”
Simon Rubinsohn, RICS chief economist, said: “The strength of the latest commercial property survey suggests that the underlying momentum of the economy will continue to accelerate through the course of this year.
“What is particularly encouraging is that a better tone to the results is visible in all parts of the country and increasingly in secondary as well as prime space.”