According to a research report from the RICS (Royal Institution for Chartered Surveyors), Wales is experiencing a rise in demand for its business property.

The research showed that in the final quarter of 2009 demand for industrial property and desk space rose, although the demand for retail space continued to fall at the same time. Of the three, desk space showed the highest rise in demand throughout the fourth quarter.

Out of the chartered surveyors involved in the report 25% reported there was a rise in the office space demand in the final quarter, while 29% reported that there was a fall in office space during the previous quarter of 2009 (third quarter). The fourth quarter of 2009 also showed a decline in the amount of available office space, compared to Q3, when there was a rise in the amount of available space.

This brings hope to the rental market as surveyors believe that rates will stop falling as drastically. There is potential that rents may still fall slightly over the next three months but not as harshly as previously.

Q4 also saw the number of new office space developments increase according to surveyors with less stalled projects.

In the face of the good news about office space, retail space in Wales is still underperforming with a large decline reported by surveyors in new occupier inquires confidence, and overall demand for the space. 25% of surveyors reported that there was a large decrease in inquiries in the fourth quarter of 2009 compared to Q3 when figures were more promising.