Central London offices 'seeing foreign investment'

Office design news from Morgan Lovell

Published on 08-06-2010

Prime central London property is being snapped up by foreign investors as the capital is seen as a "safe haven" for investment.

Nigel Ellis, director at Prickett & Ellis, said foreign buyers are seeing bargain prices due to the low exchange rate for sterling against both the dollar and the euro at present, and therefore office design space must seem an attractive option for companies and individuals looking to invest for the future.

He commented: "The impression I get is that interest rates are going to stay low, although there are people encouraging the Bank of England to raise them. The interest rates are going to stay low so the pound will stay low."

According to Yolande Barnes of Savills, more than half (55 per cent) of prime London property purchases have been by overseas buyers in the last 12 months.

She claimed that this is a higher than normal proportion, but this trend will likely continue while the pound remains weak.

Posted by Ian Johnson.