Serviced Office Market Snapshot: Central London, Q1 2013
The officebroker Serviced Office Reviews for Q1 2013 reveal current trends in the UKΓÇÖs serviced office market. Today, we take a look at the picture across Central London.
EC Office Space: Availability means greater choice for tenants
The home of Tech City and the City saw the biggest decrease in price per workstation of all the Central London postcodes, with an overall decrease of 10% from ┬ú532 in Q1 2012 to ┬ú479 in Q1 2013. This places average rents in EC below the average for Central London as a whole.
The main factor behind this dip is likely to be the increase in office space availability seen during Q1. With several large business centres opening, companies looking for office space in the City had a much greater range of choice than in the same period of 2012.
W1 Office Space: Continued popularity among independent businesses
Office space in this area of Central London remains popular and, despite a 4% decrease in average workstation price (from ┬ú705 to ┬ú677), continues to command some of the highest rents in Central London.
The average number of workstations per new serviced office tenant was 4.9 ΓÇô below the Central London average of 5.7 ΓÇô probably due to the popularity of the area among smaller independent media and creative companies, particularly in the Soho and Noho areas.
WC Office Space: Greater Commitment from Firms
At 11 months, the WC postcode area had the longest average licence length of all the Central London areas, pointing toward a greater degree of confidence and certainty among businesses taking up office space in this area. This may in part be attributed to the number of law firms and established media agencies attracted to the area.
Confirming the popularity of the area, price per workstation increased 6% from ┬ú538 to ┬ú571.
SE1 Office Space: Shorter licence length suggests startups
The most affordable area of Central London is, unsurprisingly, seeing significant interest from new startups looking for a central location with good links to the rest of the city. This appears to be reflected in the average licence length for businesses taking up space in SE1, which was markedly below the 9-month average for Central London as a whole, at just 5 months.
SE1 is the least developed area of the serviced office market in Central London, with just 5% of all business centres in the capital located here.
SW1 Office Space: Overseas interest keeps prices high
In terms of price, SW1 remained the strongest performer in Q1 2013, with price per workstation increasing by 8% from ┬ú682 to ┬ú737. Serviced office space across SW1 remains in high demand, particularly among overseas businesses keen to secure large, Grade A office space. In Q1 13, demand for office space in and around Knightsbridge was especially high.
Find out more: officebrokerΓÇÖs Serviced Office Reviews provide the latest data on the serviced office market across the UK, including essential overviews for Central London and key cities. View the full Central London report in the