The importance of the daily commute

Savills recent ‘What Workers Want’ survey makes clear that length of commute is a key factor for staff, with 89% of respondents considering this important. The map shows the travel to work areas across Norfolk, to calculate the dominant workplaces across the county. Norwich has the largest travel to work zone compared to other key Norfolk towns such as King’s Lynn and Fakenham. There are currently 450,000 people living within a 40-minute commute of Norwich. It covers 50.2% of the entire Norfolk population, meaning over half of the county lives in an area where employment is dominated by Norwich.

In the south of the county, there is a strong pull to other employment markets, including Cambridge and London.

There is a pocket on the north Norfolk coast where most people work outside the county. This is because of the high proportion of second homes in this area, with buyers from outside the county attracted by the lifestyle and leisure options the area offers.

The traditional ‘prime’ area of Brancaster and Burnham Market now spreads east and west, towards Docking and Sheringham and also more inland. In Norwich, too, the traditionally prime ‘Golden Triangle’ is trickling out towards Thorpe St. Andrew and Eaton.

Office demand

Demand for space in Norwich’s office market rose to its highest level in three years, with over 200,000 sq ft of requirements. Take up remained close to trend levels of activity in H1 2019, with 73,200 sq ft of lettings. Limited development provides an opportunity to capitalise on rental growth in the market. Good refurbishments have been a viable option with buildings such as Norfolk Tower seeing rents rise from £10 per sq ft to £15 per sq ft post-refurbishment.

With top rents currently at around £16.50 per sq ft Savills believe that prime rents in Norwich could increase close to £20 per sq ft by 2020 on pre-lets. Supply has fallen in consecutive years with less than 300,000 sq ft available. The implementation of permitted development rights has significantly affected the Norwich office market and it is estimated that over 700,000 sq ft has been converted to residential or other uses. This has resulted in a lack of choice for occupiers which has meant that out of town space is often the only option for occupiers with larger requirements.

_{Read the articles within Norfolk and Norwich: Adapting for change below.}