Yahoo Finance West End offices on track for bumper lettings year
Businesses worried about dwindling office supply are shrugging off Brexit jitters to sign for new headquarters, putting the West End on track for its biggest year of leasing since before the financial crash, a report said on Monday.
Agent JLL predicted that office take-up in the West End will reach at least 4.2 million square feet in 2017. That is the highest seen since 2007.
The firm’s forecast comes after more than 1.5 million square feet of lettings were signed for in the three months to September, smashing the 10-year quarterly average of 830,000 square feet.
Deals agreed included The Boston Consulting Group taking space at 80 Charlotte Street, which is due to open in 2019.
JLL director Adrian Crooks said: “Since the summer, take-up has been extraordinary. This puts into question the notion that occupiers are exercising caution as a result of an uncertain economic environment.”
He said demand was being fuelled by future lack of availability.
There was 1.5 million square feet of speculative construction under way in the quarter, down from the long term average of 2.4 million square feet.
