Companies are taking advantage of competitive rents in an over-supplied commercial property market to upgrade from their current premises.

With a number of new developments nearing completion and others seeing their first tenants move in, there is an abundance of supply.

Companies are relocating to get more room, better value for money or simply upgrade their facilities.

Several businesses have moved from to prime locations in Front and Reid Street due to more competitive rents and others are set to follow that trend in the coming months.

One beneficiary from relocating tenants is the Sago Properties' SE Pearman Building in Par-la-Ville Road, which is expected to be 55 percent occupied by the end of the year, according to Sanz Pearman, owner of Overnight Construction Ltd., who has been overseeing the project.

Mr. Pearman, who is also a director at Sago, said that tenants were set to start moving into the new building by the close of 2010 following completion of construction work earlier this year.

"We are finally moving," he said. "People have been signing leases and we expect a 55-percent occupancy by the end of the year and that is a good number compared with what is going on around us at the moment."

He said that there had been a lot of interest in the six-storey (including one underground) mixed use/commercial development but a number of potential clients were waiting for their current leases to expire in 2011 before committing.

"People who are looking for the bigger space are maybe tied up to their leases until the mid part of next year," he said.

"A couple of people are negotiating leases and guys who were biting four or five months ago are calling up now to see what is available."

Mr. Pearman said that the basement (which houses a private fitness club), ground and second floors were already taken by international business and insurance companies with fit outs due later this year, but there were still four floors available. Rental prices start at $27,597 per month for 5,810 sq ft on the third floor to $29,845 per month for 5,510 sq ft on the sixth floor.

Work on the 45,000 sq ft building, formerly the site of Just Shirts, started in late 2008 and despite the recession Mr. Pearman and his team pressed ahead with finishing the job

And its key selling points of distinctive blue glass windows, and curtain wall combined with the masonary band, as well as panoramic views, complemented with a public art glass lobby wall mounted on black granite commemorating Bermuda's five national sports have helped to set the development apart from its competitors in Hamilton, such as neighbour The Power House and 141 Front Street.

An added incentive for any tenant who decides to take three floors will be entitlement to the naming rights of the building, which also boasts one generator with 100 percent redundancy in the event of an outage and air conditioning.

Elsewhere. a place on the ninth floor of Sir John Swan's new 141 Front Street development would set you back $73,460 per month for 11,019 square feet (sq ft), while The Power House has 4,190 sq ft available on the third floor for $34,437 per month, according to the Coldwell Banker Bermuda Realty website.

At the other end of the scale, rents in the existing Swan Building range from $12,412 per month for 3,310 sq ft on the second floor and $34,437 per month for 8,265 sq ft on the third floor and Mintflower Place prices run between $11,047 per month for 2,946 sq ft of space on the third floor to $39,783 for 8,680 sq ft on the fifth and sixth floors.