Demand for commercial office space is growing steadily in the South-East. At the same time, rents have remained static over the last quarter according to the Royal Institution of Chartered Surveyors (RICS).

But RICS warned the number of new office developments being built was down, which could lead to increased rents as demand exceeds supply.

The RICS report appears to reflect the mixed picture in the economy.

Retail demand remains strong and interest from potential new occupiers is rising quite firmly.

A levelling-off in the industrial sector is reflected by a virtual standstill, or a fall, in occupier take-up but surveyor confidence for an improvement remains strongest in the region.

Monday July 19, 2004