GRADE A OFFICES SNAPPED UP IN INDICATION OF STRONG OFFICE ACCOMMODATION MARKET

Demand remains high for top-quality office accommodation in Norwich, whether in the city centre or on business parks – that is the message from commercial property experts Arnolds Keys, who have just let a Grade A, 11,462 sq ft office building on St Andrew’s Business Park, at a premium rent.

Avocet Court is a two storey self-contained office building with 56 on-site parking spaces, which has been let to automotive recruitment specialists Perfect Placement.  The building, which is owned by Bullen Investments, was previously occupied by property consultants JLL.

“The rapid letting of this property, and the excellent rental yield which has been achieved, are both indicative of a voracious appetite for top quality office accommodation in Norwich,” said Arnolds Keys managing partner Guy Gowing.

“Specifications such as full access raised floors, air conditioning and energy efficiency are all much sought after, and in the case of out-of-centre office buildings in particular, ample parking is also a very attractive feature.

“This building is extremely well-located, being close to the A47 and the new Postwick Hub, but we are seeing strong demand for Grade A offices elsewhere in the city – a reflection both of a resurgent economy and restricted supply of such accommodation, due to fewer speculative developments having been undertaken during the years of recession.

“Such demand should attract investors into the city, and I would expect to see more speculative new build coming through, as well as refurbishment and improvement of existing office accommodation to a high standard.”

This confidence has been borne out by other city centre developments, including an important Georgian building in Pottergate which has been brought back to life following a major refurbishment, which has achieved the difficult balance of preserving the character of the building and providing modern, high-quality office space.

The Gateway, at 83-87 Pottergate, has been snapped up by a number of new commercial tenants, including architects Griffin Green, IT company Empresa and marketing agency The Line.

Craig Knights of Arnolds Keys, which advised the London-based investor who owns the building on the refurbishment, and then marketed the offices to potential occupiers, said that The Gateway was a good example of how investment in city-centre offices could pay dividends.

“It is a question of understanding what today’s occupiers want to see.  For example, a light and airy feel is very important, so we put in new windows to the side and rear of the building to achieve that, whilst retaining the traditional sash windows on the front aspect to preserve the heritage aesthetic of the building and of the street.

“Inside, we have been able to install super fast broadband and a state-of-the-art telephone system, modern lighting and top-quality facilities.  If an owner can work with an advisor who really understands the office market, they can achieve a good result, a high level of occupancy, and a solid rental yield. 

“We have been able to secure an average yield of £11 per square foot at The Gateway, which is more than acceptable for an building in this location.”