Quarterly Review: Q2 2021
The 0.8% m/m rise in UK GDP in May was driven by the re-opening of indoor hospitality midmonth. But this rise was smaller than expected and more timely indicators suggest that the recovery lost momentum in June.
Central London office take-up edged up from its lows of 1.1m sq. ft. in Q1 to 1.2m sq. ft. in Q2, with activity dominated by leasing of second-hand space.
After very strong take up in both H1 and H2 last year, industrial take-up in London and the South East has eased in line with its long-term average.
Following a weak start to the year, there was a partial recovery in Central London office investment. According to CBRE, transactions totalled £2.7bn in Q2, which was up from a low £1.3bn in Q1.
Meanwhile, investment in regional offices saw a sharp rise in June. On a 12-month rolling basis, transactions totalled £300m in June, up from £210m in the previous month.