Central London office demand continues to recover, demand for best in class accommodation remains strong, with 53% of take-up this quarter being for Grade A space.
This is resulting in a continued upward pressure on prime rents across Central London.
Key findings from our Q4 2021 report indicate that:
- Q4 Central London take-up totalled 3.07 million sq ft, representing a 14% increase from Q3.
- Take-up totals for 2021 were 236% above levels achieved in 2020.
- Supply increased to 17.5 million sq ft, a 3% increase on Q3.
- The vacancy rate in Central London stood at 7.9%, slightly above Q3 levels of 7.7%.
- The Central London office investment market recorded £3.5bn of transactions in Q4.
- Whilst below the five-year Q4 average of c.£5.0bn it ensured 2021 represented a strong recovery on the previous year with £12.5bn of offices transacting.
- Whilst 20% down on the five-year average, this represents a 31% y/y uptick.
Click to read Central London Office Market Update Q4 2021
