Spotlight on Bristol: Why West is best for co-working providers

Not that long ago, you’d be forgiven for thinking that Bristol was a long way from the bustling streets of London and was more likely to be a place you might pop into if you were travelling down the M4 onto the M5.

However, in the last 10-15 years this city, which is steeped in culture and history, has burst onto the office scene and is now one of the most popular regional destinations for companies from across the UK and wider afield, boasting headquarter premises for the likes of Imperial Tobacco and Ultrahaptics. Under two hours from London Paddington on the train (1 hour and 37 minutes to be precise), this gem in the West Country’s crown is fast becoming a hub for companies of all shapes and sizes ranging from smaller startups to larger corporates.

The key to this growth has been Bristol’s ability to attract a young and talented workforce, individuals that are seeking an alternative option to the hustle and bustle of London which has, for so long, been top of graduates’ lists. Offering a dynamic mix of city and countryside living, Bristol has become a prime example of a city which “has it all” with regard to a balanced work/life balance. Over the years, businesses have latched onto some of the UK’s top graduate talent from Bristol and nearby Bath, creating a critical mass of office space which has grown to boast talent from all over the world.

Indeed, after several years of consistently strong take up levels, the Bristol office market has reached a point where demand for quality office space outweighs supply – only 75,193  sq ft of prime office space is available at present (discounting the development pipeline). This trend, which has only become acutely more relevant in recent years, is not exclusively limited to conventional office space either.

Flexible office providers in particular have increased their activity in the city which is home to a number of co-working spaces including Pervasive Media Studio, Chadwick Business Centres on Bath Road and Temple Way. In fact, according to data from Savills, flexible office providers accounted for 32% of total office take up volumes in Bristol in the first half of 2019 with this percentage set to rise in the second half of this year. A number of significant deals in the past year including Runway East signing for 30,000 sq ft at 1 Victoria Street have contributed to the current lack of stock which is presently available. More independent and niche providers include Streamline – a workspace for charities based in the Paintworks, or Square Works, on Berkeley Square, a workspace with access to Bristol’s leading private member’s club.  

According to Workthere, Bristol sits behind only Manchester and London in terms of searches for co-working and serviced office space on its website. As a result of this increased demand, the average price per desk has risen from £300 per month (H1 2018) to £350 per month (H1 2019) and this price is only expected to rise as we move towards the end of 2019 into 2020.

The rising demand and consequent lack of office space in Bristol is already putting pressure on the market. This is especially true for smaller spaces sub 3,000 sq ft which tend to be snapped up by smaller startups who use this type of office space until they have grown to a suitable size to move into larger, more conventional premises. It is this incubator environment which Bristol is so well-known for that is putting pressure on the market.

However, with a rich supply of space in progress and a wealth of talent, Bristol is certainly likely to remain top of the list for companies looking for an alternative to conventional office space. What will remain challenging for Bristol, however, is retaining a sense of uniqueness and continuing to appeal to those companies who have been priced out of more expensive markets in and around London. A point of difference is something Bristol must remember; after all, West is best.

Looking for flexible workspace in Bristol? Browse through our catalogue of spaces here.