The North West office market has remained uneven so far in 2026 with city centre activity across the key markets of Manchester and Liverpool below long-term averages.
In Q2, 48 office leasing deals were recorded in Manchester city centre totalling 184,477 sq ft – down on the 261,547 sq ft recorded in the same period last year and 33% below the rolling five-year quarterly average of 277,000 sq ft.
Across the city centre, South Manchester, Salford Quays and Warrington, office leasing activity reached 516,000 sq ft – up 16% quarter-on-quarter and in line with the 10-year quarterly average.
Prime rents in Manchester were 11% above the ‘Big Nine’ average and it is anticipated rents could rise further thanks to the looming supply-demand imbalance.
No new build office space is scheduled to complete in 2026 and although the 1m sq ft due to be delivered in 2027–2028 could ease supply constraints, there is a limited supply of Grade A stock available.
Liverpool city centre recorded take-up of 25,868 sq ft in Q2 – 60% below Q1 and 79% below the 10-year quarterly average of 123,500 sq ft. All the activity recorded was in the city centre, with no out-of-town transactions.
Total H1 take-up Liverpool of just under 90,000 sq ft was broadly in line with H1 2025.
The city centre’s vacancy rate fell to 5% – the lowest across the UK’s ‘Big Nine’ regional markets – and prime rents were unchanged at £29.50/sq ft.
As with Manchester, there is limited supply of Grade A space available for immediate occupation and there is very little new build stock in the development pipeline.