Office Rents at Record High
The city of London has seen the biggest growth in demand for commercial office property in years. A new record for the highest ever office rent paid in London has been set by art dealers, the Nahmads, at a whopping £185 per square foot at 8 St James’s Square. Although 2.4 million square feet of office space was rented in the first three months of this year, London commercial spaces are now becoming more scarce than ever, and this has even affected demand in the West End, according to Cushman and Wakefield (commercial estate agents).
“It is clear that rising rents and scarcity of product are leading to a redistribution of occupiers across central London, particularly West End occupiers,” says Andy Tyler, head of Cushman and Wakefield’s West End office. Vacancy rates in the West End are now at their lowest level since 2000 at only 2.3%. This has been one of the best starts to the year for commercial property letting since the Global Financial Crisis occurred, and gives an optimistic outlook for London property for 2015.
Read more at: http://www.standard.co.uk/business/business-news/london-sees-record-office-rents-as-demand-for-commercial-property-booms-10148848.html