Workspace Q1 demand improves but activity well below pre-Covid levels

9th Jul 2020 07:57

(Sharecast News) - Office space provider Workspace said on Thursday that customer demand improved in the first quarter but that activity remains well below pre-Covid levels.
The company said enquiries in June rose to 765 from 272 in April. However, average monthly enquiries in the first quarter were 506 versus 1,060 in same period a year ago, while monthly average lettings dropped to 43 from 121.

Cash collection of rent due for the first quarter is now at 75%, net of rent reductions and deferrals and the 50% rent reduction offered to business centre customers ended at the end of June.

Workspace said it has received 65% of rents due for the second quarter to date, compared to around 80% at the same time last year.

While customers are slowly returning to its centres, activity is now at around 15% of usual levels, it said.

"The Covid-19 lockdown had a significant impact on customer demand in the quarter, although as restrictions eased we saw a strong pick-up in activity," Workspace said. "We are encouraged to see that the level of activity continued to increase in early July."