The flight to quality has created clear winners and losers in the office market. Yet while older buildings may lack the specifications of the latest Grade A developments, branding can be a powerful way to narrow the gap.
The office is a vital tool for attracting staff, building culture, projecting a brand, and potentially making positive environmental impact. For occupiers, renting the best space can be a complex decision not solely driven by location.
That’s why the flight to quality of offices is becoming more entrenched. Grade A space accounted for around 28% of total take-up in Central London during Q1 2026, up from 22% a year earlier. Grade B, by contrast, has consistently accounted for less than 5%.
These are tough times for owners of older buildings as they navigate the way around obsolescence, but with the right strategy it is possible to narrow the competition gap with newer stock. Grade A buildings succeed for several reasons, some structural and irreplaceable – like floor-to-ceiling heights and energy ratings – while others are less tangible. The latter revolve around brand: an attractive identity, a service culture built around it, and a demonstrable sustainability approach.
The benefits are often harder to quantify than capital expenditure with immediate, measurable paybacks, which is why asset managers can be resistant to making the investment. Yet the most successful developers place as much emphasis on a building's story as they do its amenities or sustainability features. Building brands often begins with the address or architecture and runs through to service standards and operational behaviours.
Rich histories
London is rich with examples. Helical’s JJ Mack Building on the edge of Smithfield Market has all the features occupiers want from a new building – it’s EPC A, BREEAM outstanding with sensors that monitor air quality and occupancy levels. But it leans just as heavily on the site’s history; the building takes its name from the grocery store that once occupied the site, owned by JJ Mack, a market trader whose career started with just a street barrow. The interiors continue that thread, with warehouse-inspired finishes and graphic style signage that echo the era of the original JJ Mack and Sons.
The Heals Building on Tottenham Court Road is another. The General Projects and KKR scheme leans heavily on the 200-year-old Grade II* listed building’s design heritage as part of its positioning. It was commissioned by the famous furniture designer Ambrose Heal and was once the factory where Heal’s furniture was made. The façade is little changed its days as a factory and nods to its history can be found alongside modern features and playful references to design as part of its brand and wayfinding.
We think about office branding through three pillars: connection, sustainability and longevity. Connection starts with creating places where people genuinely want to spend time, with front-of-house teams, amenity spaces and events programmes all contributing to a sense of community.
Sustainability extends beyond energy performance. While some older buildings may never achieve the highest EPC ratings, there is still significant scope to reduce environmental impact and strengthen social value, whether through circular-economy and materials initiatives, responsible procurement or selective partnerships and brand associations with local organisations that root a building in its neighbourhood.
Longevity, meanwhile, is about creating an identity that can endure. That means a visual identity that feels authentic to the building and reveals its uniqueness, and a service culture committed to continuous refinement as occupiers' needs evolve.
Together, these elements help to create a sense of place. transform a building from a workplace into a destination. In many ways, they borrow from the best of the hospitality sector, where management teams can articulate culture and operators prioritise social and environmental impact alongside financial performance.
A clear proposition
The clearest evidence for the power of real estate branding comes from the residential sector. Dubai and Miami have become hubs for branded residences – partnerships with football teams, restaurants, hotels and fashion brands command substantial premiums over non-branded stock. Dubai’s Land Department regularly publishes data which highlights the branded residences market outperforming luxury sales, with 2025 figures indicating they command a 40% premium versus non-branded.
In the commercial sector, the value of brand is harder to isolate from sustainability credentials, location or specification. But we see a similar effect in commercial properties who leverage brand through association via operating partners who provide amenity or services, like cafes, gym, wellness.
Recently we have seen building restaurants operated by tops chefs, front of house staff providers by luxury hospitality and fitness offerings from premium gyms. We know that assets with a clear proposition move faster, generate more interest and give agents a more compelling narrative. That matters more as new supply becomes increasingly scarce. The Grade A vacancy rate in core London markets, such as the West End, has already fallen to 1.1% and will decline further, making well-positioned secondary stock more attractive.
Some resistance to brand spends is likely to endure. Yet when Grade A supply is tightening and occupiers begin considering alternative options brand is the thing that makes the complex decisions simpler and helps the buyer pick one building over another. In a buoyant secondary market, the opportunity cost of doing nothing may be higher than the cost of an investment in your assets branding.
Looking to reposition an office asset?
Our Property Management Consultancy team helps create distinctive workplaces and destinations that attract occupiers, strengthen brand identity and support long-term asset performance.
Find out how we can help
Continue exploring our insights
Discover more research, market analysis and expert perspectives on the trends shaping offices, workplaces and the UK commercial property market.
Explore our latest insights
