In a tough office market,
Leeds stands out with the 40% in lettings last year that reveals its inherent resilience. As much as anything else, it was the number of transactions, at 106, which showed the popularity of the city as a business centre. That was also reflected in the performance of the retail market where rents increased by 5.5% and which are due to improve again in 2012. Given the problems in other cities, that is a surprising performance and gives Leeds a real edge.
However, even though Leeds stands out from the other major cities, it appears overall that cities are performing better than the smaller urban areas. One explanation reached by the Deloitte sponsored Sunday Times survey is that twelve companies backed by private equity in Yorkshire and the North East were in a league table of the fastest growing companies in the UK. This proves that entrepeneurship is alive and well.
Surprisingly, one sector which has been having a hard time is logistics. This is odd because until now South Yorkshire has been one of the most popular logistics areas in the UK. It is hoped that national retailers will again start seeking space in Yorkshire. However, on the plus side, there are new developments such as Orchard Street at Gildersome Spur, Blue Marble Projects at Peterlee and particularly the Gregory GroupĂs substantial investments in the county. Gregory Group has indicated that more is to come.