Competition is hotting up for corporate rentals
The market for corporate rentals in London has never been more competitive, and having the right agent working with you is crucial to successful placements. In the third quarter of 2019, our dedicated Corporate Services team at Kinleigh Folkard & Hayward (KFH) carried out over 1,700 property searches for staff working for our corporate clients – an 11.3 per cent increase on the previous year.
When location matters
Our most requested areas for corporate searches are Angel, Canary Wharf, Shoreditch, King’s Cross and Bermondsey, and we continually analyse demand for corporate rentals in all of these key markets and more.
This means that our team can predict how many companies will be out there looking for accommodation and at what price points, passing insights on to our clients.
KFH has 60 branches in London, but a quarter of the searches that we ran between July and September were handled by our three city branches in Clerkenwell, London Bridge and Canada Water. This isn’t surprising given that relocated staff want to be in as convenient a location as possible for getting to the office.
Helping you get the offer right
We also spend a lot of time trying to unearth the right properties for our clients. At the moment, the main challenge is that the kind of homes that companies want to rent – usually one and two-bed apartments in modern, purpose-built blocks – are in short supply.
This issue is prevalent right across London, and on the back of that we have seen some significant rent increases. Take Clerkenwell as an example. Due to its proximity to both the big finance and professional services firms in the City and the tech giants around Old Street and King’s Cross, it is a particularly hot market for corporate rentals.
Since 2018, we have seen rents rise from an average of £433 per week to an average of £505 per week in the area; an increase of 17 per cent. Because there has been such high demand for corporate rentals, offers have become extremely competitive. This is where our team excel, knowing the market and advising corporate clients on the best offer in an effort to secure the right property.
Why more companies are working with us to find homes for their staff
Renting a property gives companies the flexibility to move their staff where they need them,when they need them, and being agile is especially important in challenging times like these. Uncertainty around Brexit is a prime example, where more companies are seeking the flexibility that corporate rentals allow.
It’s a tough market out there, but at KFH we are overcoming these challenges thanks to our extensive network and seamless collaboration between our branches and our dedicated Corporate Services team. Companies are choosing us for their corporate search requirements ahead of the competition because we focus on customer experience, ensuring that both the corporate client and the professional that will be living in the property are well looked-after.
Duncan Blakelock is Regional Director at Kinleigh Folkard & Hayward.
If you are a company relocating your staff, or a London landlord, get in touch with our Corporate Services team via homesearch@kfh.co.uk