Retrofit Boom Drives 18% Growth for 186 Property Solutions

As UK commercial property vacancy rates continue to climb, refurbishment specialist 186 Property Solutions has reported an 18% year-on-year rise in project volumes – a boost largely fuelled by the growing demand for retrofit schemes.

The Darlington-headquartered company, which also operates a regional office in Berkshire to serve clients across the South of England, delivered more than 100 additional contracts in 2024/25 compared to the previous financial year.

While the growth spans a range of services, a significant proportion relates to retrofits and refurbishments, reflecting a wider industry shift towards sustainable property improvements. The trend points to increasing pressure on landlords and asset managers to modernise ageing assets in line with regulatory and market expectations.

“We’re seeing a clear shift in the market,” said Jonathan Carter, Director at 186 Property Solutions. “Secondary commercial properties in particular are facing longer voids, and owners are increasingly realising that targeted retrofits and refurbishments can elevate these buildings to prime status – improving energy efficiency, attracting tenants, and commanding stronger rents.”

Vacancy rates have been rising, especially among older, less efficient buildings located outside the UK’s main urban hubs. Recent figures from the Royal Institution of Chartered Surveyors (RICS) show a continued increase in unoccupied space across the office and retail sectors during Q4 2024, highlighting the growing divide between high-spec Grade A stock and the rest of the market.

At the same time, government legislation is accelerating the push for energy upgrades. From 2030, all commercial buildings must achieve a minimum Energy Performance Certificate (EPC) rating of ‘B’ – a requirement that leaves over 80% of existing properties at risk of becoming non-compliant or unlettable without significant improvements.

“Retrofitting isn’t just a regulatory box-tick. It’s a strategic investment in unlocking asset value,” Carter added. “For many property owners and landlords, it’s the only viable way of making ageing or inefficient properties commercially competitive again.”

186 Property Solutions’ retrofit services typically include the installation of energy-efficient lighting, insulation, HVAC systems, upgraded glazing and improved doors, enhancements that not only support EPC compliance but also improve occupant comfort and long-term operational performance.

With the demand for retrofit and refurbishment work expected to rise further, the firm is positioning itself at the forefront of this market transformation, supporting landlords, investors and occupiers as they future-proof their assets.

“Standards are changing, and expectations are higher – whether it’s around energy use, comfort, or space quality,” he added. “Retrofitting isn’t a ‘nice-to-have’ anymore; it’s essential for any building that wants to stay relevant and usable.”