PointPark Properties (P3) has seen the volume of of its leasing deals soar by 70% in the first half of 2012, compared with the same period of 2011. This has coincided with a lack of new development supply and converging lease terminations, putting a supply squeeze on top locations across Europe.
Ian Worboys, P3 CEO said: “The extremely strong demand we have seen for our properties in the first half of the year, whether for lease renegotiations or new deals, is a reflection of the lack of development supply in the pipeline. This is supporting the appetite for the limited number of high quality assets in top locations that form the majority of P3’s portfolio, despite the extremely challenging background market and economic conditions.” He added that tenants are increasingly switching from short-term to long-term contracts, as well as investing more in renovations of their existing buildings.
