Space Solutions, the property and office design specialist and consultancy, has experienced a sharp increase in activity in the Central Belt in 2016 that has balanced out market pressures in Aberdeen and the North East in relation to the oil and gas sector. Space has doubled revenues over a two-year period across its Edinburgh and Glasgow offices and is eyeing further growth across Scotland and the UK during 2017.
Overall, Space recorded group-wide revenues of £36 million in the year to 30th June 2016 against £36 million in the previous year and is forecasting similar revenues (c. £36-37 million) in the current financial year. Despite significant challenges in the marketplace in recent times - running from the recessionary and post-recessionary period following the financial crisis of 2007/08 to the current travails in the North East market - the senior management team is encouraged by the fact that Space has managed to keep revenues steady and that investment in the business has positioned the group for growth in the near to medium term.
Managing director, Steve Judge, said: “While we have seen more traditional demand in uptake of space, particularly pronounced in Edinburgh and Glasgow with record levels of uptake in those cities, the vast majority of our public sector and commercial activity in the North East has been centred around optimising the use of space and thereby reducing the cost of occupancy - that’s obviously attractive to organisations as relative cost per person is reduced.”
Meanwhile, Board Director Derek Binnie, previously Director for the Central Belt, has been appointed as Space’s first Director for Strategic Growth to drive strategy as the company enters its next phase of growth following significant investment in the Space Solutions team during the last financial year and strengthening of the product and service lines across the group. Space expects to progress two possible acquisition targets in Q4 and will make further announcements in due course.
Derek Binnie said: “Optimising workplaces for employees creates real value for businesses generating efficiencies and considerable savings going forward. We have invested heavily in our team and infrastructure this year, expanded our range of services and along with building stronger links with the property community as a whole we feel we are in really good shape for the future. We are also actively looking at growing the business by way of acquisition.”
While Space operates predominantly in Scotland, the senior team is also looking at opportunities to grow the business across the UK in 2017. Steve Judge said: “Through working with an increasing number of national and international corporations and partners, we are getting into the frame for more projects and developments outside of Scotland.”
Space Solutions employs 230 people across its main offices in Aberdeen, Edinburgh, Glasgow, Livingston and Dundee.