One of the largest office lettings of its kind in recent memory has taken place on the Solent Corridor in Hampshire.
The Pavilion, a rare speculative build from 2008 along the commerce-rich M27, now has inaugural occupiers in a deal through regional commercial property consultancy Hughes Ellard.
Regional law firm Trethowans signed a 10-year lease on the 23,560 sq ft (2,189 sq m) Grade A premises, at £16.50 per sq ft.
Seventy staff move in to the two-storey building, at Botleigh Grange Office Campus, Botley, this month (November) from Rockstone Place in Southampton.
As part of the deal, one quarter of the building, which has a double-height reception, has been let to WYG, the global programme, project management and technical consultancy.
Hughes Ellard, joint letting agents with CBRE, acted for Helical Bar, which acquired the vacant property two years ago in a joint venture with regional developer City Estates.
Russell Mogridge, the business space director at Hughes Ellard, said: “This is the largest office deal of its kind in recent memory, given that The Pavilion was a rare off-the-peg development, and it’s good to see this quality building finally buzzing with people.”
However, with full occupancy at The Pavilion, he warned: “There is now a genuine dearth of decent office space along the commerce-rich M27, especially as some are being converted into residential flats, further squeezing availability.
“Rents across the office market in the Solent Corridor could rise to £24 a sq ft in future years as demand outstrips supply.”
According to Hughes Ellard, the remaining quarter of the 200,000 sq ft (18,580 sq m) office campus at Botleigh Grange has already been let or is under offer.
Russell said: “With the economy apparently larger that it was before the credit crunch in 2008, based on revised figures by the Office for National Statistics, companies are struggling to find quality office space to cater for expansion.”
Simon Rhodes, managing partner at Trethowans, said. “We are delighted to have grown to the point that we have simply outgrown our current Southampton Office.
“We needed to move to bigger, modern premises, with great car parking, and our new office at Botleigh Grange does all three.
“Being based in Hedge End will allow us to get into Southampton very easily and also offers us a bigger geographical reach across the whole Solent region. Our new office building reflects the growth and development in the firm and will suit us very well.”
With offices in both Southampton and Salisbury, Trethowans employs a team of 145 people including 25 partners.
Other occupiers at the office campus, which is marketed by Hughes Ellard, include heating specialist group GDC, Gleeds, the international management and construction consultants, recruiter Appoint Group, Five Arrows Business Finance Plc, Lloyds Bank and toy licensee Bandai UK.
