Shell Take Office Space in Canary Wharf
Global energy and petrochemicals giant Shell have taken 187,000 sq ft of temporary office space in LondonΓÇÖs Canary Wharf while their long-term home the Shell Centre will be refurbished.
Reported today by Reuters, the office space in Canary Wharf, which was formally occupied by Barclays, will be spread over 10 floors and be occupied for up to 15 years. Shell will also have the option of taking an additional two floors of office space if required. Speaking in Property Week James Smith, chairman of Shell UK explained:
ΓÇ£Shell Centre is our home in London. The site is an exceptional location in one of the worldΓÇÖs great cities. We want to redevelop it to its full, modern potential in keeping with the continuing development of LondonΓÇÖs South Bank.ΓÇ¥
While not all of the 3000+ Shell staff will take up occupancy in the Canary Wharf office space, it is believed that around 50% will make the move while the rest will remain in the tower building of the Shell Centre near Waterloo Station. Once the redevelopment is completed the displaced staff will then return.
Chief Executive of the Canary Wharf Group welcomed the deal saying:
“(Shell) is a worthy addition to the increasingly diverse range of occupants. The letting is also a demonstration of the continuing attraction of our high specification office space and flexible approach in meeting occupier’s needs,”
This latest letting in Central London is part of a rising demand for quality office space across London, with more and more large corporates looking to take advantage of discounted rents before a predicted supply shortage inflates commercial property rents later in 2010 – a trend which has already been recorded in the serviced office space market throughout Central London.