City leading global rental recovery, report shows

Office design news from Morgan Lovell

Published on 25-08-2010

A recent report by CB Richard Ellis (CBRE) has highlighted the leading role the City of London is taking in a global rental recovery in the office market.

The latest quarterly Global Office Rental Cycle report from CBRE showed that European countries are lagging slightly behind the Asia Pacific region in terms of rental growth - except in London, which continues to lead the recovery.

Dr Raymond Torto, global chief economist at CBRE, said: "The City of London continues to lead the other key global markets in terms of the scale of rental growth seen to date. This is due to increased demand in the financial sector."

He added that despite fears that rents may have fallen in recent months, London's West End remained stable during the second quarter of the year.

Elsewhere, CBRE also recently revealed that investment in UK property was particularly strong in the north-west region during the first half of 2010, with £316.7 million being pumped into the office interior market over the six-month period.

Posted by Adrian Norman