IT’S that time of year again when Business Times ask for our views on the commercial property market in Corby and every year we seem to have a similar message – the market is really very strong! The last 12 months have been no different and here is an overview of what’s been going on. Investment We’ve noticed significantly more enquiries from local investors but as importantly enquiries from across the country and overseas. With record occupancy rates and a lack of new stock, investors are anticipating healthy rental growth across all sectors.
IT’S that time of year again when Business Times ask for our views on the commercial property market in Corby and every year we seem to have a similar message – the market is really very strong! The last 12 months have been no different and here is an overview of what’s been going on. Investment We’ve noticed significantly more enquiries from local investors but as importantly enquiries from across the country and overseas. With record occupancy rates and a lack of new stock, investors are anticipating healthy rental growth across all sectors. We have bought and sold a number of property investments over the last 12 months and have a healthy supply of opportunities for sale. Offices Enquiry numbers are up 60 per cent on last year’s figures generally from larger occupiers looking for more than 1,500 sq ft. There is a lack of high quality office space available to let with Corby Enterprise Centre 95% let and the 5,000 sq ft Exchange Court already ‘under offer’. Corby Borough Council have just received funding to split the 4th floor of The Cube and we have a number of companies already looking to sign up. Retail The Town Centre is almost fully let and has the lowest void rate of any town in the area; we act for the new owners, Sovereign Centros who are looking at ways of improving tenant quality and the general shopping experience. When units do come available they are quickly snapped up generally at higher rents. Other retail locations such as The Old Village and the various neighbourhood parades are full. The Phoenix Retail Park area is about to welcome Wickes and M&S. Industrial Once again a lack of quality stock is causing a problem. We predicted last year that developers would start ‘spec building’ and they have done with a record rent of £5.50 / sq ft set on a new warehouse building off Steel Road. Freehold units of all sizes are snapped up by investors and owner occupiers who can get cheap property finance from the main stream banks, challenger banks and new forms of funding such as ‘Crowd-Funds’ and peer to peer lenders. We are in discussions with a number of developers looking to develop more industrial units. Leisure There is also lots happening in the world of leisure. The Cinema opened last June alongside three new restaurants (Nandos, Prezzo and Steak Bar) with Olive opening over the road. A new Wetherspoons pub opened in the town centre as did Decades Late Bar in the Old Village. A new trampolining centre opens in the spring at Rockingham Park. Predictions for 2016 • rental and capital growth across all sectors • growth in land prices • yield compression (investors willing to pay more for same level of income) speculative development in B1 and B8 sectors Potter Learoyd Commercial can be contacted on 01536 560400 or 07802 150000 or visit the website www.plcommercial.co.uk