London office demand is rising, report shows

Office design news from Morgan Lovell

Published on 14-01-2011

Capita Symonds has released a report predicting that demand for prime London office space is likely to increase.

The report showed that last year, there was a 37 per cent rise in office interior take-up across the city in 2010, although there was a significant reduction in this increase during the last quarter of the year.

Alan Dornford, director in Capita Symonds' real estate division, said: "At the root of this performance is the dwindling stock of grade A space and a development pipeline which is at an historically low level."

He added that, for example, just 1.3 million sq ft is scheduled for completion in 2011, with no further projects likely to be completed beyond then.

Meanwhile, a spokesman for the Union of Construction, Allied Trades and Technicians recently claimed that office construction and other building work across the country has stalled in many cases since the government introduced its austerity measures to reduce the Budget deficit.

Posted by Adrian Norman