Investment in London commercial offices unlikely to be changed by Brexit

Investment in City of London offices is up by 7.6 percent for the same period last year reaching £9.47 billion as of the end of October 2018 – while the West End market is on track to reach at least £7.4 billion before the year is out. This is up on the £7 billion turnover seen in 2017, according to Savills. Stephen Down, executive director and head of Savills Central London investment team, says: “Demand for central London offices has remained buoyant throughout 2018. While we may not see the year set any new records, annual volumes look set to either surpass or draw very close to those of 2017. He adds: “London’s position as a global safe haven is unlikely to change because of Brexit. Investors choose London, not just for its position in the EU, but for the property market’s liquidity, transparency and relatively low transactional costs packaged around long leases relative to other tier one cities and a landlord friendly lease structure. While it retains its plethora of some of the best office buildings in the world, and continues to look good value compared to continental Europe, investor interest will remain.”