Success for Kings Hill
Kings Hill, Kent’s most established business park and mixed-use community, has completed property deals on 15,000 sq ft of office space this quarter bringing the total space leased in the past 12 months to in excess of 43,000 sq ft. Kings Hill continues to perform well when compared to the total of 76,687 sq ft open market lettings in the South East M25 quadrant during Q3 2010.
Global IT company MTK Wireless Ltd has renewed its lease on 10,527 sq ft in 30 Tower View where it develops multimode cellular transceivers. The company is part of MediaTek, which has its headquarters in Taiwan and sales and research subsidiaries in China, Singapore, India, US, Japan, Korea and Denmark as well as the UK.
Leading IT company, Relational Database Technology (RDT), has also renewed its lease on its offices at Kings Hill, where it occupies 5,184 sq ft in 4 Abbey Wood Road. The company develops new automated administration solutions for the insurance market and was the first company to introduce real time credit card transactions for websites.
In the past 12 months Barclays, Victoria Trading, Tieto, Skye IT and Locate in Kent have signed deals totalling over 28,000 sq ft and Rolex moved into a purpose-built 75,000 sq ft HQ on the park.
Deals have also been signed with Domino’s Pizza and Costa Coffee on space in Liberty Square, Kings Hill’s central area of retail, community and social amenities, despite the challenging property market.
“It is good to see so many companies deciding to stay at Kings Hill and also to welcome new companies here,” said Andrew Blevins, managing director of Kings Hill developer Liberty Property Trust UK Ltd.
“We are a strong, stable landlord and use the sheer scale of the park’s buying power to negotiate keen utility costs for our tenants. We also work hard to deliver value for money in relation to our service charges, which is especially important to all our tenants who are looking to cut operational costs.”
The South East quadrant of the M25 office market has a vacancy rate which remains considerably below the comparable rate for both the South West quadrant and M25 as a whole. This reflects the relative lack of newly developed supply.
Quality new space decreased to 70,085 sq ft, second-hand grade A space remained static and second-hand grade B space increased by 84,673 sq ft (15.5%) during Q3 2010. Poorer grade B accommodation accounts for more than half (61.7%) of the total space available in the South East quadrant. Total availability in the South East quadrant has increased over the last 12 months but no new speculative development has commenced.
“The quality of accommodation at Kings Hill is key to our success and, in addition, we are one of the few parks considering speculative development, having secured outline planning permission for a speculative development of six new office buildings totalling 80,000 sq ft,” added Andrew Blevins.