Central London office take-up increased four per cent last year

Oscar Lopez
London From Above
Office take-up in London is up four per cent. (Source: Getty)

Take-up of office space in central London is up four per cent in the year to April, according to real estate advisor CBRE.

The increase in office rentals was driven by pre-letting activity, the group said, and brought downtown London’s total take-up to 3.4m square feet (sq ft) for the year.

Under offers also reached their highest level since May 2016, according to CBRE, increasing by 16 per cent to 3.6m sq ft. Under offers in Central London were up 27 per cent on the 10-year average of 2.9m sq ft.

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The largest unit under offer at the end of April was at 5 Merchants Square, where 159,200 sq ft of sub-let space is under offer to a confidential occupier.

Chris Vydra, head of city leasing at CBRE said: “Central London under offers are at the highest point in the last 12 months and take-up is ahead of 2017 levels compared with this point last year.

“The diversity of occupier types taking space demonstrates London’s broad appeal and occupier confidence can be seen in the high levels of pre-letting activity, often with long lease terms. We expect demand to remain resilient as we head further into the year.”

Read more: Demand for office space in London is up 76 per cent on last year

Take-up in April was dominated by the creative industries sector, accounting for 44 per cent of take-up, followed by the banking and finance sector (26 per cent) and the business services sector (21 per cent). .

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