Optimism in commercial property in Derby is on the increase with higher levels of enquiries currently being received and completed transactions also on the up; the green shoots previously spoken about are growing thick and fast!!
Cranes are visible over various development sites across the city including the Castle Ward urban village, an Extra Care facility at Bath Street and various new design and build industrial units at the Westside Park development on Raynesway which have attracted inward investment from companies outside of the Derby area. Furthermore, the City Council‘s serviced office offering is in the city centre is starting to take speed with Sadler Bridge Studios complete and over 50% occupied as well as the Former Magistrate’s Court being close to completion. Add these to the upcoming Infinity Park development and Derby is looking a very exciting place to live and work at the minute.
Whilst the city centre office supply is just starting to gain momentum, other areas such as Pride Park remain extremely popular with both occupiers and investors. On behalf of Melbourne Developments, BB&J Commercial has secured various lettings and sales over recent months on Pride Park with deals to Medaris, Collstream and Webroots particularly of interest due to the profile of the companies and the size of the deals. The final plot on Pullman Business Park is currently available to purchase or rent and is being constructed speculatively which shows the developers confidence in the market and area. The office building will be located in a prominent position and provide over 8,000sq ft of space over three floors. In addition, an attractive office investment on Orient Way is currently available. Both of these properties are being marketed by BB&J Commercial.
As confidence continues to rise the hope is that speculative development will also increase in order to facilitate more investment into the city as well starting to address the shortage of new good quality space in Derby, both for industrial and office properties. This will in turn allow companies who have remained in unsuitable accommodation for the last few years move, grow and expand as they wish. With Banks also now starting to show more willingness to lend money to developers with a proven track record of schemes and Enterprise Growth Funding still being available, our hope is that further sensible schemes of speculative units will be built ready for occupiers to purchase or rent. The time certainly appears right for some further speculative development in the area and this will allow Derby to push on even further and show why they are outperforming their other East Midlands counterparts for regeneration. We watch this space with eager anticipation!!