COMMERCIAL PROPERTY IN GIBRALTAR
The past 18 months have seen significant proposed office developments launched to market. World Trade Centre and Midtown are the main players and both account for approx. 27,000sqm of new office space. Both schemes are scheduled to be completed by early 2017 / late 2017 respectively.
Aside from the above we are also seeing the re-development of various Freehold Town Centre buildings converted and re-fitted into HQ offices for particular users.
Demand has clearly increased with the additional pressure of there being no new build in this sector for quite a number of years. Our views on whether there is real demand to meet the forecasted sqm being proposed are met with an element of caution given the substantial schemes in the pipeline.
Moving forward, we take the view that there will be an element of decanting from the older commercial properties into the newer and better designed office schemes, which may affect the bottom line in terms of rates /sqm achieved both in sale and rental.
Fundamentally, it will be the driving force of the economy, enabling it to grow further and attract new business, which we believe Gibraltar will continue to do. We take the view that new modern office options will only serve to improve the commercial offerings in the market and will generate new business
Current Market Rates
|Europort||Europort||High value - Comm||£295 - £340/sqm|
|Leisure Island||Ocean Village||Complex||£325 - £415/sqm|
|Regal House||Queensway||High value - good||£250 - £300/sqm|
|Euroowers||Europort||Amenities||£240 - £275/sqm|
|Leanse Place||Town (South)||Mid end||£240 - £275/sqm|
|Hadfield House||Town (Centre)||Mid end||£230 - £250/sqm|
|59 Line Wall Road||Town (Centre)||Mid end||£240 - £270/sqm|
N.B These rates are indicticative only and are to be taken as average price ranges in the respective properties.
Please note that the above prices may be subject to condition of units let and whether or not they are internally finished (to high standard & spec) and kitted out for immediate use.
Current Forecasted Rates / Prices for WTC / Midtown
|World Trade Centre||£385/sqm (lease)||£5,000/sqm (For Sale)|
|Midtown||£355/sqm (lease)||£4,250/sqm (For Sale)|
Note that the above are based on existing sales and committed leases at both developments and where figures are given as an average.