Search
 

Central London Rents Under Pressure as Vacancies Soar

LONDON-Despite a slowdown in leasing activity in the central London office market, 2001 was still the third strongest year for office take-up in the past 15 years according to new research from CB Hillier Parker

By Graham Parker | Updated on January 17, 2002

LONDON-Office take-up in central London showed encouraging signs of resilience in the final quarter of 2001 with 2.7 million sf leased, up 14% on the previous quarter, according to the latest research by CB Hillier Parker. This pushed the annual takeu-up figure to just under 13 million sf, the third highest total seen in the past 15 years.

But this activity was not sufficient to prevent a marked rise in availability which soared 39% on the quarter to 12.5 million sf, or 5.7% of stock. Wit development activity relatively subdued, most of the space coming to the market was second-hand. CBHP calculates that second-hand space represents over 85% of total availability. And further additions likely over coming months as companies try to offload surplus space. The firm warned that rents are likely to soften.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.