We posed some questions to one of our agents, David Simnock, to get an insight on how the property market has fared in 2021.
David Simnock, Agency & Investments
1. What positive changes have you witnessed in the property industry this year?
Tenants have so much more variety. Gone are the days of simply looking at open plan CAT A space: now they can consider fully fitted CAT+, Managed, Serviced, and more. Plus, there is a lot more supply over demand which makes it a tenant driven market.
2. What have been the greatest market challenges of 2021?
The greatest challenge continues to be the uncertainty. Specifically, companies working out what the new normal looks like and how that effects their occupational needs. For us, in turn, this significantly effects the decision-making process in putting together a brief and offers.
3. Have there been any particularly surprising property trends?
Out with the old, in with the new! Old second hand (and cheaper) space is sticking around longer on the market and not shifting despite quoting at a lower rent. This is due to the CapEX required to bring it up to standard. In contrast, fully fitted (CAT A+) is more sought after due to timings to complete and minimal upfront CapEx – where leases are more flexible and shorter.
4. What has been your professional highlight of the year?
Sourcing such a variety of deals has been exciting and rewarding – whilst developing a range of instructions across all sizes. Since the pandemic I’ve worked on everything including disposals, acquisitions, regearing, lease renewals, rent reviews, dilapidation negotiations and valuation consultancy.
5. Looking ahead, do you think traditional property management will change in the next year?
In short, yes. I think owners will need to think about their long-term strategy of the building and consider measures and implementation to avoid costs later down the line due to sustainability policies.