Office space

By THIS IS MONEY
Updated:

 

The Daily Mail City team explains why commercial property firms are seeing a surge in demand for office space, despite the ongoing economic instability.

square mile

Plenty around?

With Britain limping half-heartedly out of recession, you'd think so. But property firms are reporting a surge in demand for office space as businesses seek prime locations while rental prices remain low.

Estate agent King Sturge says the 'worst of the fall in office rents is over', with London leading the way and the rest of the country lagging behind.

Central London take-up has increased from December 2009 by 7%, says commercial property specialists CB Richard Ellis.

So space is tight?

Not for long. A few years ago, skyscrapers with exotic monikers were supposedly years away from transforming the skyline of London and other major cities.

The earthquake that ravaged the property market shook those plans to their foundations but the blueprints are finally being dusted off, signalling an increase in available office space.

So what's happening?

Brookfield Asset Management is soon to begin construction of the Pinnacle Tower.

Land Securities is talking to constructors about breaking ground on the 508-feet high Walkie Talkie tower, put on the back burner in the property crisis.

Work on CB Richard Ellis project, the Shard of Glass, continues apace, with the skyscraper scheduled for completion in 2012.

It will be the tallest in the European Union at 1,017ft.

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