Market Overview News

As we approach the end of March, it gives us a great opportunity to look back at the activity in the Derby office over the first 3 months of the year. Pleasingly, as we rolled over into the new year, we were hit with an unexpected demand across industrial, office and retail, with high enquiry levels, increased viewing numbers and deals being concluded. We found that businesses we had been talking to 6 months prior have come back into the frame and are starting to make decisions. Across all three sectors, we have been extremely busy with 32 deals completing across the first 3 months of 2026.

January and February proved to be very active months, and we are hoping that this will set the precedent for the forthcoming year. Within March we have still completed on a number of lettings and sales, but the activity across telephone and email enquiries has slowed down which can be linked to the ongoing tensions in the Middle East. We hope that the current activity within the market continues through, but it is hard to predict the next 3 months.

Within the retail sector, one of the standout transactions for us was the sale of The Royal Buildings, one of Derby city centre’s landmark buildings situated on Victoria Street. The Royal Buildings comprises 22,062ft² and marks a major investment sale within the city centre.

After a positive 2025 in Derby’s office market, the trend has continued into 2026 with a number of deals completing. Notably, Pentagon House, a 30,000ft² office building just off the A61 in Derby has now reached 100% occupancy with an occupier taking a second-floor wing of circa 4,000ft² for a period of 10 years. We are also pleased to launch The Exchange, a new grade office scheme situated on Pride Park where we can offer build to suit opportunities from 10,000ft² to 45,000ft² on either a leasehold or freehold basis.

Finally, the industrial market has seen a variety of deals from 500ft² to 66,000ft². Ascot Drive has proved to be positive with 5,814ft² of prime trade counter space being recently let to Link Electrical. Off the back of this we have received two further instructions, one being Unit 6, Newmarket Court comprising 2,895ft² and the second being the Former Jewson site of roughly 1.63 acres to be sold on a long leasehold basis.

Pleasingly, we are seeing deals complete and businesses looking for their first or even next step. The majority of the deals are within the sub 5,000ft² industrial market but we have transacted the letting of 66,000ft² in Alfreton based on a 6.4 acre site.

Harry Gamble of FHP Property Consultants commented:

“As I am coming up to 3 years at FHP, it certainly feels that this year has been much more positive with the high levels of enquiries and viewings. I have now completed a number of lettings and am starting to deal with freehold sales across all sectors.

On a personal note, February proved to be very successful as I completed 7 deals and placed 4 properties under offer. Whilst I anticipate the movement to slow down over the forthcoming Easter break, I hope that viewing numbers will stay positive and businesses will still be anticipating their next move.”

For further information, please contact Harry Gamble on 07398 443 828 or harry.gamble@fhp.co.uk.

ENDS

Harry Gamble

March 2026

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