London | Offices
Office Market Update - Q4 2017
Central London Office Market Update - Q4 2017Central London offices saw strong levels of occupier activity and investment volumes in 2017.
- Central London take-up levels reached 12.68m sq ft, 11% ahead of 2016 and 2% ahead of the 10 year average.
- Despite pressures of increased tenant space (26% of total availability) and 8.03m sq ft of 2017 development completions, the vacancy rate rose only marginally by 43bps last year to 6.15
- With landlords generally unwilling to increase incentives further, prime rents in the majority of Central London markets reported annual declines. Q4 2017 prime rents stood at £115.00/ sq ft in the West End and £67.50/ sq ft in the City.
- Central London office investment volumes reached £15.33bn in 2017, 15% ahead of 2016. Overseas investors were responsible for 81% of the total.