News

Colliers CRE: Q4 Central London Research Paper

• 2004 annual take-up across Central London reached its highest level since 2001. 10.7m sq ft of office space was taken, with demand for ready to occupy new and refurbished accommodation reaching a five year high. Quarterly take-up in the City market reached its highest level for four years.
• Grade A supply stands at its lowest level for 12 months after falling by 8% across Central London in Q4. This underlines the escalating demand for tip quality office space in prime locations. In contrast second-hand accommodation stands at a five year high.
• Speculative construction levels have fallen by 25% quarter on quarter and current expectations are that 2005 completions across the West End and City markets will be around a third down on the previous 12 months.
• West End prime rents rose to £77.50psf, exhibiting an annual rise of just under 10%.
• A total of £6.7bn was invested in Central London offices during 2004 with the Q4 total reaching £1.8bn. Institutional investors accounted for 43% of investment transactions across Central London in the final three months of the year.

Source: Colliers Cre, Chartered Surveyors & International Property Consultants