Almost half of businesses (49%) in Liverpool and Manchester believe there is a shortage of appropriate city centre space to support their growth, according to our research.
- Almost half (49%) of businesses in Manchester and Liverpool feel that there isn’t enough appropriate city centre space to meet their needs post-COVID
- The majority (87%) remain committed to the region’s city centres, but half (50%) of businesses would consider relocating in their next lease renewal event
Polling more than 200 businesses operating in Liverpool and Manchester city centres,we found that the vast majority of firms (87%) intend to continue operating in the city centre post-pandemic, with more businesses (29%) saying that being away from the office has had a negative impact on their business than positive (24%).
However, with agile or hybrid working expected to become increasingly prevalent as firms return to the city, at least half (50%) would consider relocating in their next lease renewal event – with improved digital infrastructure leading their list of priorities ahead of flexible payment terms and an increase in space.
The findings form part of our new report, Bouncing back: North West cities, which provides a detailed assessment of how Liverpool and Manchester city centres will evolve post-COVID.
Drawing on the expertise of leading voices from the region’s property market, the report offers an insight into what the future holds for commercial offices, retail and leisure, and the residential sector – featuring contributions from businesses including Peel L&P, Bruntwood and Living Ventures, and a foreword by Tom Bloxham MBE.
Andrew Waugh, our real estate sector lead, says: “There is no denying that the commercial property market has experienced a seismic shock due to the impact of Covid-19. As a firm embedded in the North West, we wanted to go beyond our anecdotal view and explore these issues with the people shaping the region.
“What emerged is a sense of renaissance as the region’s cities come out of a long hibernation and bounce back after a year of homeworking. City centres will change to meet the new normal – from increased pedestrianisation and the rebirth of a more independent high street, through to greener more accommodating offices for workers. The pandemic has ultimately accelerated trends that were already at play, including the flight to quality and space within property and public realm but also the increasing need for the city to become a ‘destination’ for those not already living there.
“Our research also confirmed that businesses remain committed to the city centre but that not enough appropriate space is available to help them to realise their ambitions. This issue, which was prevalent before the pandemic, has become all the more pertinent and will have significant consequences as more and more firms adopt hybrid working models.”
