We are pleased to share with you our latest insights report on the Central London Office Market. This edition of our snapshot series provides a comprehensive analysis of office leasing, availability, flex pricing and rents in Q1 2024.
Economic factors, including a brief recession and inflationary pressures have contributed to firms hesitating to secure new office space. The year kicked off with a decline in leasing activity, which in turn has seen the overall office availability level tick upwards.
However, each business district across central London tells a different story, and so we invite you to delve deeper into our findings and explore the detailed trends and data that shape the current office market landscape.
Below are some highlights from our market analysis:
DECLINE IN LEASING
Leasing activity declined in Q1 2024 to 2.3 million sq ft, a 45% drop from Q4 2023
OFFICE AVAILABILITY NOTCHES UP
Office availability rises 1% in Q1 2024 to 24.7 million sq ft with N1 & E1 with greatest rises
UPWARD RENT PRESSURE SECONDHAND SPACES
Grade B rents rose significantly in 8 submarkets, especially in the City Core
FLEXIBLE OFFICE PRICING SLOWS
Average price per desk, per month is £836 for Grade A spaces, no change in Q1 2024
The anticipation of downward movement in both inflation and interest rates is providing a boost to optimism and influencing current and future workplace plans. With a general election now looming, businesses will be watching policy proposals on taxation, regulation and general costs closely, all of which are set to influence decision making.
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
