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A Look Back
The Heathrow market is almost entirely based on Stockley Park. However, Henley's regeneration of Bedfont Lakes – now rebranded as Bloom – will offer an upgraded business park option in the Heathrow area.
Whilst vacancy rates remain high, Union has bucked the trend and secured lettings to Heidelberg and Keyence, with the remainder of the building close to under offer to Teledyne and a confidential occupier. These occupiers are all new entries to Stockley Park.
IMG's expansion into Stockley Park and other associated TV companies like the Premier League is starting to create a cluster of businesses within this sector. This trend might continue to absorb more supply in the Park.
Meanwhile, occupiers such as Marks & Spencer and Celegene have left the Park, whilst others such as Hikvision and Hasbro are regearing their occupation at 4 The Square.
A Look Forward
One of the biggest questions about Stockley Park is what Gilead will do next. They currently occupy c.90,000 sq ft and are addressing the dilemma of how much space and where they will need space for the next 5-10 years.
With four vacant buildings over 50,000 sq ft, three of which need to be refurbished, the question is who will begin refurbishment first, or might Stockley Park start reinventing itself as a mixed-use Park?
The park continues to cry out for the Arena to inject some much-needed upgrades and improvements to the amenity offering in Stockley Park, which will dramatically improve the appeal of the Park to occupiers.
Rents have stabilised in the region of £38.00 per sq ft, but the further erosion of the existing supply will be key to Stockley Park's future success.
*See key markets PDF for technical note on statistical calculations