Office space uptake in Cardiff at a record high
The Welsh capital has been subject to a great number of office development schemes over the last couple of years, breaking the record of office take-up in 2016.
Central Square is currently one of the major development sites in the city. The BBC confirmed in late 2015 that it would relocate its headquarters in Wales there and law firm Hugh James has already taken 100,000 square foot of the space available at 2 Central Square. Cardiff University also confirmed they would relocate its journalism school into 45,000 square foot at 2 Central Square, taking advantage of its proximity to the new BBC HQ. These buildings will be alongside the already completed 1 Central Square, which is occupied by MotoNovo Finance as well as law firm Blake Morgan.
There has also been progress regarding a master plan for a mixed-use redevelopment of Brains Brewery, which will be known as Central Quay and will be split between office and residential space with additional restaurants and bars in the area.
JR Smart is also developing Capital Quarter, which will ultimately comprise four office buildings, of which the Welsh Government bought the first. When completed, the fourth and last building to be developed at Capital Quarter will be the largest development on the site, bringing even more demand for office space.
Despite the uptake in office space, there is some concern that supply will not keep up with demand, with some office space also being lost. The former offices of law firm Blake Morgan at Bradley Court and 11 Park Place have been bought for £6 million by Select Property Group, who are expected to demolish and redevelop the building to make way for student accommodation under their Vita Student brand.
There is plenty of demand for the new space coming from these development schemes, suggesting there could be further record-breaking take-ups, but it has been questioned whether developers will be able to keep up with this unprecedented demand for office space in the city.