Serviced office provision in Bristol has doubled since 200510th May 2012

The number of “serviced” offices in Bristol has more than doubled since 2005, reflecting a significant change in the way people work and how businesses occupy their office space.

Research by Instant, who specialise in office solutions, has found that in 2005 there were 23 serviced office centres in Bristol, but by 2011 the figure had grown to 49. This makes Bristol the 15th largest serviced office market in the world, with a total of 7,590 individual serviced “workstations” or desks.

However, serviced office prices have had a bumpier ride with a peak of £276 per month for a single workstation in 2006, and a low of £214 in 2010. These have now recovered to £226 in 2011.

Bristol is the fourth largest UK serviced office market after London, Manchester and Birmingham, but according to Instant’s research its growth story is mirrored across other UK cities reflecting the country’s global number one slot. Since 2005, all of the UK’s top markets have more than doubled their number of available centres, with the exception of London, which has grown by 43%, and Edinburgh, which has grown by 50%.

Serviced offices are one of the fastest growing sectors in the commercial property market. In 2011 there were 5,484 centres operating in 101 countries around the world, up 18.5% since 2008. The UK is the largest market and has 36% of the world’s total centres. The United States is the world’s second largest market but has 25% fewer centres than the UK, even though its office market is considerably larger.

Of the top 50 markets, monthly workstation rates are highest in Paris at $1,573 and are lowest in Sheffield at $296. In 2011, Manchester was ranked 47th in terms of price, with monthly workstation rates of $369 (£226).

So why are serviced offices increasingly popular? Serviced offices provide an instant workspace for one to several hundred people for a period of a month, a year, or even longer. Everything from desks to telephones are already provided, so all a company needs to do is turn up and start working.

Serviced offices offer businesses flexibility, with minimal costs to set up or exit, and companies can expand or contract as needed. They are ideal for overflow space requirements, providing space during refurbishment, project space, short-term expansion, new business start ups, new market entries, satellite offices and mobile workforces.

Patrick Elliott CEO of Instant said: “The pace of the serviced office market growth is impressive considering we’re in a global recession. We believe the reason for the growth is that advances in technology have revolutionised the way businesses occupy office space. Large corporate offices that would traditionally provide a desk for each employee are now reducing the amount of space that they occupy and embracing flexible working practices.

“For example, the internet has allowed workers to have greater flexibility relating to when and where they work; however, they still require a suitable environment from which to conduct business. As the amount of permanent office space per employee decreases, companies are becoming more efficient with their use of space but also more exposed when sudden increases in headcount are required. Growth of the flexible office market can be attributed to this shift."