The demand for high-quality and flexible office space in Leeds continue to grow, according to leading global property consultancy Knight Frank.
Knight Frank’s Leeds office has acquired 25,000 sq ft of Grade A space at 7 Park Row on behalf of international creative workspace provider, Spaces.
Eamon Fox, partner and head of office agency at Knight Frank, explained: “There is no doubt that flexible working is an idea whose time has come. That is why this instruction from Spaces is so significant for Leeds. Spaces already has office space in London, Manchester and Bristol – now it’s Leeds’ turn.”
7 Park Row is an iconic building, formerly the Leeds headquarters of Lloyds Bank, in the heart of Leeds’s professional quarter. Totalling 40,700 sq ft, it is owned by CBRE Global Investors, who are leasing 25,000 sq ft to Spaces.
Mr Fox explained: “The concept of an office space is forever evolving. What formerly passed for adequate – a desk, a chair and a computer – simply doesn’t cut it anymore. As the way we work changes, the workspace’s identity has to change in tandem to keep up with the forever-growing digital professional landscape.
“Employees increasingly demand higher-quality services and amenities and value more community space. New generations entering the workforce have different expectations of the office environment, particularly the under 35s, challenging the way in which we all work.
“Ironically with the apparent freedom for many to work wherever one wants, afforded by mobile and tech, we are seeing an increasing need for high-quality workspace where people can work together, to collaborate and innovate.
“Co-working is a concept that has really taken hold of our current way of working and turned it on its head. Instead of a business having its own office space, co-working advocates for a shared working environment, where many businesses of different industry and size can work communally.
“Co-working offers an incredible amount of flexibility to the occupier and provides support in scaling up or scaling down rapidly. In addition, the customer service within co-working spaces is typically of a different class to that found in most conventional products. This is seeing the emergence of space-as-a-service models, whereby real estate is moving from being a fixed, physical product to a flexible service that supports the occupier.
“Co-working’s benefits are far-reaching. The system is meant to improve productivity by allowing flexible working from different areas and meeting rooms throughout the space, tackling loneliness in the workplace thanks to its great sense of community and provide new business opportunities due to the close congregation of working professionals. However, as stated, from a business standpoint for the occupier, co-working’s promise of flexibility is one of the biggest attractions,” said Mr Fox.
Spaces was founded in 2008 and now has 207 offices across 45 countries.
Matt Aubrey, Development Director, North at Spaces said: “Demand for flexible office space is growing rapidly. This is particularly so in Leeds, which continues to attract new businesses and entrepreneurs from across the world.
“Our research shows that 53% of professionals globally now work remotely for at least half their working week and 30% of corporate real estate portfolios could be flexible workspace by 2030. People are recognising that they are far more productive and successful in a dynamic working environment, while businesses are waking up to the financial and strategic benefits. Spaces is helping to supply this demand and drive a workspace revolution across the capital and the country.
“We are excited to announce Spaces’ first centre in Leeds and we look forward to introducing even more people to the benefits of a flexible and creative working environment with socialising and networking at its core. It’s an environment that enables members to share ideas and build partnerships through a programme of business and leisure events.”
The Leeds office of Savills acted for the landlord.
