City’s office sector buoyant according to new report

Derby’s office sector has seen the highest level of take-up for over a decade, according to a new commercial property report.

The newly published Market Insite 2026 report, compiled by commercial property agent Innes England, said that the city’s office sector saw the highest level of take-up for 12 years, including 81% in Grade B.

Derby also experienced “significant” rental growth for both prime Grade A and Grade B office space over a five-year period.

The report cited major deals such as the 29,300 sq ft disposal of St James House, in Mansfield Road, to Derby City Council, and MHA’s acquisition of 23,000 sq ft of space at Wyvern Business Park.

Meanwhile, Derby’s industrial take-up remained above the 10-year average for the fifth consecutive year in 2025, according to the report.

The largest transaction involved a 195,000 sq ft build-to-suit facility at Infinity Park Derby; a second big box deal was the 120,000 sq ft pre-let at SEGRO SmartParc Derby.

The report also said that Derby – along with Leicester – was helping to drive investment activity in the living sector.

Overall, the report stated that the East Midlands had seen a drop in total investment volumes, dipping to just under £1.2 billion in 2025, compared to just over £2 billion in 2024.

Ben Robinson, Innes England’s head of investment, said: “We believe the pullback in activity, which was seen across the board of all three East Midlands cities, was largely down to a combination of a lack of available stock and the previous year’s out-performance, as investor appetite and sector fundamentals remain strong.”

While the UK’s retail and roadside market largely struggled in 2025, several notable East Midlands deals highlighted that the right locations will always work, said sector specialist and Innes England associate director Sam Hall.

Sam said: “Cities with strong, established shopping centres, such as Derby and Leicester, have seen retailers relocating from prime high streets into the centres.

“This follows consumer trends of prioritising convenience and experience when they can park, be entertained, shop and eat all in one place.”

To download Innes England’s Market Insite 2026 report, click here.