Aberdeen office market seeing increase in occupier activity

Fresh evidence of a recovery in Aberdeen’s office property market has emerged after an increase in the number of occupiers looking to relocate.

According to property advisor Savills, office take-up in the Granite City in the second quarter of the year totalled 90,647 square feet, taking the total for the first six months to around 180,000 sq ft, across 52 deals.

The firm said that “churn” in the market was being brought about by a significant rise in the number of deals taking place, compared to the corresponding period in 2017, when 30 lettings completed amounting to about 240,000 sq ft.

Dan Smith, director at Savills in Aberdeen, said: “Office take-up in Aberdeen in 2018 appears on target to match the improved level of activity seen last year, however what is most interesting is the makeup of these figures.

“Unlike 2017 when the city’s two largest deals accounted for almost 50 per cent of annual take-up, this year we are seeing a far greater number of occupiers looking to relocate and take-up has been characterised by a larger number of smaller deals.

“It is our view that a market with greater churn is a healthier market; one which is characterised by greater stability, and is less susceptible to fluctuation.”

He also pointed to a record rent for the city of £32.50 per sq ft after two separate deals at The Silver Fin building. 0 Dan Smith: seeing more occupiers looking to relocate