The world of work has changed significantly since the 2019 pandemic, it has accelerated a huge change in working patterns from remote work, hybrid work and more flexible working patterns. 

The workplace has undergone a seismic shift since the pandemic of 2019. Remote and hybrid work, alongside flexible working patterns, have fundamentally reshaped how businesses approach their office needs. 

These changes have brought both challenges and opportunities to Manchester’s office market, which remains a critical hub for innovation and business growth. As we enter 2025, understanding the trends shaping this landscape is essential for companies seeking to align their workspaces with their evolving needs.

A Shortage of Grade A New Builds
The lack of new-build Grade A office developments in Manchester has created a supply-demand imbalance. This scarcity is driving up demand for flexible workspaces and placing increased emphasis on the refurbishment of existing properties. These refurbishments aim to fill the gap by offering modernised, sustainable spaces that appeal to businesses seeking high-quality offices.

Moreover, this shortage is boosting activity in the sublease market. As companies reassess their space requirements, many are offloading larger, long-term leases in favor of more adaptable options. This shift is creating a dynamic submarket for businesses looking for ready-to-use, cost-effective office solutions.

The Rise of Managed Workspaces
Manchester’s flexible workspace market continues to grow, but the focus is primarily on serviced office models. While serviced offices are popular, the demand for “managed spaces” is gaining traction. Managed workspaces provide companies with bespoke private offices while retaining some benefits of serviced offices, such as simplified leasing and operational support.

Notable developments like The Hive NQ, Gilbanks St. Michaels, Campfields, Colony King Street, and Colony 19 Spring Gardens are set to enhance the city’s flexible workspace offering. However, there is a clear market gap for managed solutions that balance autonomy and convenience—a space ripe for innovation.

Prioritising Inclusive Design
Inclusivity is increasingly influencing office design. Businesses and landlords are recognising the importance of creating spaces that cater to diverse needs. Features such as improved disabled access, neurodiverse-friendly environments, and dedicated prayer rooms are becoming critical components of modern workspaces. In the competitive office market, inclusivity is no longer optional—it is a differentiator.

Interest Rate Trends and Sectoral Shifts
The anticipated easing of interest rates may provide a much-needed boost to Manchester’s tech, media, and telecom (TMT) sectors. Once thriving, these industries faced challenges in recent years due to a constrained investment climate. As conditions improve, we expect to see a resurgence of TMT businesses driving office demand, alongside recruitment, financial, and professional services.

Manchester’s office market in 2025 is a reflection of broader shifts in work culture and economic conditions. Businesses navigating this landscape must balance flexibility, inclusivity, and strategic foresight to secure workspaces that align with their goals. At LEVEL Workspace, we specialise in guiding tenants through these complexities, ensuring they secure the best spaces for their needs and future growth.