January 3, 2019
Office investment volume in Central London in 2018 is expected to come close to £20 billion, despite the ongoing economic and political uncertainties of Brexit. According to Savills London witnessed notably above average levels of office take-up in 2018 and achieved the best ever City of London rent (£80 per sq ft). The list of global businesses committing to long term leases has continued to grow with announcements in the last 12 months from Facebook, LinkedIn and Sidley Austin. The constrained development pipeline has seen more office pre-lets over 50,000 sq ft agreed in 2018 than ever before, while a shortage of available Grade A options has matured into a greater number of development opportunities. Savills also predicts a greater number of value-add and development opportunities coming to the market and that trading in London will insure the ongoing creation of the world’s best office buildings in a city where people will continue to want to work. This in turn creates new investment opportunities for global investors searching for prime assets.