nvestor appetite in London for Town workplace properties appeared to have arrived at its maximum level so considerably this calendar year in May well, with over £550 million of transactions completed.
Interest for sites in the Sq. Mile arrives irrespective of numerous buildings nonetheless be significantly emptier than regular thanks to doing the job from dwelling advice, and inspite of some firms looking to reduce business office space.
Some potential buyers are betting that occupier desire will maintain up for present day and environmentally-helpful workplaces.
According to home agent Savills, £558.5 million of revenue ended up agreed very last month. It mentioned that marks the optimum May turnover given that 2018.
That was also the maximum monthly figure so significantly in 2021, encouraging complete City investment volumes for the 12 months to date achieve £1.37 billion across 20 transactions.
Buys in central London this year involve a consortium led by Wing Tai Qualities Constrained, a Hong Kong primarily based company, agreeing a £255 million deal for a business office block in the vicinity of Chancery Lane station.
Stephen Down, head of central London expenditure at Savills, reported: “Investors are optimistic about the prolonged-expression long run of London workplaces, specially as the pricing of assets is now highly competitive with other European nations around the world.”
Bosses are drawing up write-up-pandemic workplace strategies. Some companies are searching to embrace distant working for a longer time time period, even though a amount have pointed to presenting staff a mixture of household and place of work hours.