Investor Presentaiton
Operating Environment in the United Kingdom
Key economic indicators and market overview
Key Economic Indicators (1)
Sequential GDP
-1.5% for the Mar 21 quarter
+1.3% in the preceding quarter
Unemployment Rate
4.8% for the three months to Mar 21
4.9% for the three months to Feb 21
South East Office Trends and Outlook (3)
.
FRASERS
LOGISTICS & COMMERCIAL
TRUST
Take-up levels across the South East totaled 647,890 sqft in Q1 2021, the highest level of take-up
since the beginning of the pandemic. This is also the strongest Q1 since 2015 and an increase of 8%
on the 10-year Q1 average. The development pipeline remains severely constrained with just 289,000
sf completing in 2020, 68% below average.
⚫ Prime rents have remained largely stable across the South East office market.
South East Investment Volumes
Consumer Price Index
5,000
4,000
Bank Rate
3,000
£ mil
1.6% for the 12 months to Apr 21
Q1
Q2-Q4
Q1 5-Year Average
30.0
29.0
01.0% for the 12 months to Mar 21
27.5
28.0
27.5
28.0
28.0
26.5
28.0
28.0
26.0
27.0
26.5
South East Office Headline Rents
(£ psf per year)
Bracknell
⚫Farnborough
0.1%
2,000
24.0
Unchanged since March 20
23.5
23.5
1,000
22.0
501
1,070
367
482
597
500
501
0
20.0
2016
2017
2018
2019
2020
2021
Q1 2016
Q1 2017
Q1 2018
Q1 2019
Q1 2020
Q1 2021
1. Source: Office for National Statistics. 2. Source: Bank of England, published April 2021. 3. Source: CBRE Research South East Q1 2021.
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