The Greater Manchester property market demonstrated resilience in the first quarter of the year, with property agents reporting that office demand remained robust. Small and medium-sized enterprises (SMEs) drove activity ahead of larger deals anticipated to close later in 2026.
Q1 Take-Up Figures
According to the latest report from the Manchester Office Agents Forum (MOAF), office take-up for the first three months reached 286,000 square feet across 51 deals. This figure aligns with the five-year average, although it is slightly lower than the 319,995 square feet recorded across 53 deals in Q1 2025, which was the strongest first quarter in five years.
Key Transactions
Notable transactions during the quarter included the Government Property Agency's acquisition of 114,000 square feet at Havelock, X & Why taking 25,000 square feet at The Hive, Jacobs securing 9,000 square feet of expansion space at The Lincoln, and Sheppard Robson moving into 9,000 square feet at its own scheme at Pall Mall. However, MOAF emphasized that activity was predominantly driven by smaller moves, with 42 deals each involving less than 5,000 square feet of space.
Manchester Leads Regional Office Market
A separate study by JLL revealed that Manchester maintained its position as the UK's largest regional office market in 2025, and was the only Big Six city to record more than one million square feet of take-up. Rosie Veitch of Sixteen Real Estate commented: “The Manchester office market continues to perform well year on year. The bulk of Q1 transactions were under 5,000 square feet, highlighting SMEs’ confidence in Manchester as a city. This is supported by the city’s strong talent pool, excellent transport links, and the high-quality office space being delivered by landlords, with 34% of all deals under 10,000 square feet being fully fitted and furnished.” She added that there remain several large requirements in the market from both existing Manchester occupiers and new entrants, expected to transact later in the year.
Sub-Market Performance
Beyond the city centre, MOAF reported steady office activity in key sub-markets. South Manchester saw 82,400 square feet across 64 transactions, driven by SME demand and smaller lettings. Salford Quays & Trafford recorded 35,500 square feet of take-up, while Warrington reported 42,300 square feet from a mix of larger strategic lettings and smaller deals for less than 2,000 square feet at business parks. Simon Roddam, head of OBI’s regional/out-of-town office in Warrington, said: “The Q1 figures underline that demand remains resilient outside the city centre. While occupiers are taking a more considered approach, South Manchester, Salford Quays & Trafford and Warrington continue to perform well by offering the right blend of quality accommodation, flexibility, and competitive occupational costs.”
2025 Full-Year Performance
JLL’s research showed that Manchester recorded 1.06 million square feet of transactions in 2025, down from the 2024 peak of 1.22 million square feet but close to the five-year average of 1.1 million square feet. Key deals included AutoTrader’s 130,000 square foot commitment at 3 Circle Square, the largest single deal across the Big Six in 2025. Six of the top 20 regional deals, totalling 307,000 square feet, were in Manchester. JLL is now forecasting prime rents to reach £60 per square foot by 2030, up from £45 at the end of 2025. However, the supply pipeline remains a challenge, as several new schemes under development will not complete until 2027 and 2028 at the earliest.
Investment Market
Manchester also led the Big Six in investment, with £257 million transacted across 14 deals, up 22% on 2024. Richard Wharton, director of Office Agency in Manchester at JLL, stated: “Manchester’s fundamentals remain the strongest of any UK regional market. The demand pipeline for 2026 is robust, but occupiers looking for best-in-class space need to be moving now. With the new-build pipeline not delivering until 2027 at the earliest, we expect competition for prime space to intensify and rents to continue their upward trajectory. The refurbishment market is filling some of the gap, and we’re seeing strong appetite from occupiers for well-executed retrofit schemes in core locations.”
