INDUSTRY NEWS

Report: Take-up of City of London office space the highest since 2010

New research has suggested the take-up of central London office space has reached its highest point since the end of 2010.

The study, conducted by global property consultancy CBRE, also found the interest in offices in the UK capital had increased 32% in Q2 compared to the previous quarter.

There was a trio of the particularly eye-catching deals which occurred over the quarter in question, including the purchase of 205,800 sq ft of London office space at Sixty London by Amazon.

The two other deals for office space over 100,000 sq ft in the quarter included Great Portland Estate developed 12/14 New Fetter Lane, a 140,ooo sq ft offering being snapped up by law firm Bird & Bird, and the deal between Amlin Insurance and duo British Land and Oxford Properties, for it to rent 118,800 sq ft of London office space at the Cheesegrater, officially known as The Leadenhall Building.

The CBRE report also highlighted another eight deals which involved London office space of over 50,000 sq ft in Q2, the highest figure since Q4 2010.

The total take-up in central London was 3.4 million sq ft for the quarter, bringing the current figure this year up to 5.9 million sq ft.

City Agency executive director, Chris Vydra, said: “The increases in take-up across Central London seen this year along with rising under offers have led some to call the turning point in the market.

“Whether or not this is true remains to be seen, but the heightened levels of activity are supporting our forecasts of a steady improvement in the occupational market and a return to rental growth.”

News bought to you from DeVono Cresa, the award-winning commercial property advisers, specialising in Central London office, retail and leisure space.