The property market is set for across-the-board growth throughout Worcestershire according to an optimistic forecast by leading Midland independent property consultancy GJS Dillon.
The firm is predicting significant improvements in the markets for office space, industrial and warehouse accommodation and residential development land as the economy continues its recovery and key indicators are positive.
John Dillon, director of GJS Dillon said the county is already seeing an increase in demand for good quality office space and there were even signs that the speculative developer, both for offices and industrial space, could be returning to the market.
In addition there is continued strong demand for well-positioned residential development sites, and as local authorities finalised their core strategies there is likely to be a greater allocation of land for industrial and distribution facilities and office use with the potential to increase employment levels.
“We are certainly seeing signs of an up-lift in the market across all sectors, and I am confident that 2014 is going to be better for the property market than we have seen for some years. Demand for office units in the Worcester and Bromsgrove area is strengthening as tenants realise how reasonable freehold prices are. However we are likely to see freehold prices rising sharply over the next 12 months as the demand-supply dynamic shifts,” he said.
He added, “All commercial property sectors have been feeling the impact of difficult market conditions over recent years with a limited appetite for speculative development and a lack of investor confidence. However we are now witnessing a steady take-up of available space, and for certain sizes of office and industrial accommodation, a shortage of stock.”
But he warned that a continued reluctance by banks to lend could potentially slow down the rate of recovery.
“Some banks are still not keen to increase their exposure to commercial property. However we are seeing new funders entering the market so finance can be found as long as you know where to go, and deals can be done,” he said.
GJS Dillon LLP, with offices in Worcester and Bromsgrove, offers a full range of commercial property consultancy services throughout Worcestershire and surrounding areas, and along the M5 and A38 corridors.