Edinburgh's largest vacant office going on the market
Spanning about 110,000 square feet, 525 Ferry Road was home to State Street for more than 15 years, but the US-headquartered group said in April that it was moving its Edinburgh operations to the city’s Quartermile development.
Following the relocation, joint agents JLL and Cuthbert White have now been instructed to start the hunt for a new “big ticket occupier”.
Cameron Stott, director of office agency for JLL in Scotland, said: “In a market where supply has been squeezed, 525 offers a rare opportunity for a company to secure a large open plan, fully serviced, office building, fully serviced. Given its size, and location, we also believe that it offers an attractive options for an inward investor seeking to expand into the city.”
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Cuthbert White co-founder Nick White added: “With rents increasing in the city centre resulting in occupancy costs of over £45 per square foot, 525 will be able to offer occupiers accommodation with an overall occupancy cost, taking into account rent, rates and service charges, of around £30 per square foot. That’s exceptional value for a large corporate looking for a central Grade A headquarters in Edinburgh.”
Earlier this year, business and financial adviser Grant Thornton warned that if demand for office space continues to overtake supply, Scotland’s commercial property sector could suffer long-term growth issues.
The firm said that current market predictions suggested both Glasgow and Edinburgh could see rents rise by more than £2 per square foot by the end of this year, while slowly recovering market conditions around Aberdeen “could leave the Granite City facing similar changes to central Scotland”.