Office level uptake the highest in 5 years

Contrary to Brexit predictions, the level of office uptake in London has increased by 14% in the last year, the highest level since 2014.

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Anti-Brexit demonstrators in London
Anti-Brexit demonstrators in London
JTA/Jeff J Mitchell/Getty Images

Office level uptake the highest in 5 years

Contrary to Brexit predictions, the level of office uptake in London has increased by 14% in the last year, the highest level since 2014.

Whilst many experts have been pessimistic with property prices following recent Brexit negotiations, the London market has continued to perform very strongly, with more than 14 million square feet being approved and taken by companies in the UK’s capital.

Of those offices, 27% have been taken up by firms in the technology, media and telecommunications sector, which is driving the start-up economy and further cementing London’s position as a start-up hub. The recent addition of Amazon opening a headquarters in the centre of London has no doubt led to increased optimism.

Other high profile Israeli start-ups in London include Payoneer, Gett, Taboola and Kaltura.

This success of commercial property in London includes the ever-expanding popularity of creative workspaces and open-work offices such as Israeli-owned WeWork and other rivals such as Spaces and LABS.

Businesses are able to rent office spaces in London at very low costs and with flexible contracts, they are not tied down for long periods of time. It also appeals to companies that are expanding or going through growth periods, as they can add more desks and employees easily.

The everlasting Brexit negotiations will finally come to a conclusion on 29th March when the UK finally leaves the European Union. With the UK leaving the Euro trading area, there have been expectations of lower property prices and a recession to impact the entire country. However, the surge in popularity for office space shows more optimism than the economists suggest and also a strong tendency to continue making deals.

The mixed-use commercial property market is one that is thriving under Brexit, with offices and retailers also including living quarters for residents and students.

Businesses may be considering how Brexit might impact travel between European companies and how this will affect business, specifically the movement of staff, imports and exports. The results are still to be determined in the next 2 months, with talks of deals that will limit the negative impacts of a Brexit deal for all European parties involved. For more information, use the Eurotunnel’s guide on Brexit Travel.




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