Central London Workstation Costs Hit 6 Month High
The cost per workstation in Central LondonΓÇÖs serviced office market increased substantially during January ΓÇô recording its highest level in over 12 months.
But as demonstrated by the graph included in this blog, prices in the latter half of 2009 remained relatively consistent, averaging around ┬ú663.00 per workstation between July and December. By the end of January 2010 however this increased to ┬ú978.00 per workstation ΓÇô recorded in SW1.
This increase, which follows reports of a ΓÇ£property rallyΓÇ¥ in the commercial property market, could be the first signs of supply beginning to dwindle in LondonΓÇÖs serviced office market. Such a squeeze on office space supply levels, in both the commercial property market and the serviced office sector, would result in landlords taking the power back from what has been a tenant dominated market during 2009. By doing so landlords have been able to drive prices back up as prospective tenants begin to compete for the limited space available.
A full analysis of how the Central London serviced office industry has faired during the entirety of Q1 will be published by officebroker.com in mid April, identifying the lasting impact of the surge seen in January. This report will be available from www.officebroker.co.uk. You can view officebroker.comΓÇÖs regional reports on activity from Q4 09 now by clicking HERE