We are pleased to bring to you the latest edition of The Occupier. In this bumper issue, we provide a comprehensive review of the Central London office market in 2023. A year in which tenant demand remained steady in the face of numerous headwinds impacting workplace strategies and setting the scene for the year ahead.
In this report, we share our outlook for 2024, a year in which where the real estate market will not only present opportunities for businesses with workplace requirements but also raise some challenges, forcing many with the prospect of compromise.
Below are some highlights from our market analysis:
- ROBUST LEASING – 12.7M SQ FT LEASED IN 2023
- THE CITY WAS THE TENANT’S CHOICE – 49% SHARE OF LEASING
- AVERAGE AVAILABLE OFFICE SIZE UP 24% TO 12K SQ FT
- 40% OF AVAILABILITY IN THE SOUTHBANK IS GRADE A
- GRADE A RENT NOW ABOVE £100 PER SQ FT IN 5 LOCATIONS
- DOUBLE-DIGIT GROWTH IN GRADE B RENTS IN 7 SUBMARKETS
- DEMAND FOR FLEX OFFICES SEES PRESSURE ON DESK PRICES
Some of outlook topics are:
- Tenant Costs – inflated rents and capex to see more growth
- The devil is in the detail – pressure on office designers to deliver
- Aligning ESG goals– achieving workplace sustainability
- Flex as an option – greater consideration of coworking through to managed options
- Elections 2024 – local, national and international elections to influence corporate decisions
- Home from Home – greater focus on the office experience
Complementing our outlook for the year, we have contributions from developer Stanhope, fit-out finance providers Bluestone and energy accreditation firm Nabers, all offering their view on the market.
Click on the report image below to download the document.
If you would like any further information on this report and its insights, please do get in touch or alternatively you can find more on our website at www.devono.com
