Offices in London have highest uptake in last 5 years

Whilst many economists have been pessimistic with future property prices, the London market has continued to perform very strongly, with more than 14 million square feet being approved.

By
February 19, 2019 17:27
1 minute read.
Office space [Illustrative]

Office space [Illustrative]. (photo credit: PIXABAY)

 
X

Dear Reader,
As you can imagine, more people are reading The Jerusalem Post than ever before. Nevertheless, traditional business models are no longer sustainable and high-quality publications, like ours, are being forced to look for new ways to keep going. Unlike many other news organizations, we have not put up a paywall. We want to keep our journalism open and accessible and be able to keep providing you with news and analysis from the frontlines of Israel, the Middle East and the Jewish World.

As one of our loyal readers, we ask you to be our partner.

For $5 a month you will receive access to the following:

  • A user experience almost completely free of ads
  • Access to our Premium Section
  • Content from the award-winning Jerusalem Report and our monthly magazine to learn Hebrew - Ivrit
  • A brand new ePaper featuring the daily newspaper as it appears in print in Israel

Help us grow and continue telling Israel’s story to the world.

Thank you,

Ronit Hasin-Hochman, CEO, Jerusalem Post Group
Yaakov Katz, Editor-in-Chief

UPGRADE YOUR JPOST EXPERIENCE FOR 5$ PER MONTH Show me later

Whilst many businesses are agonising over the pending Brexit negotiations, the commercial property market in London continues to remain strong. Recent reports show that the number of commercial offices being taken up by companies is the highest in 5 years. 


Whilst many economists have been pessimistic with future property prices, 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.
Amongst these offices, 27% have been taken up by firms in the technology, media and telecommunications sector, which is driving the start-up economy and further reinforcing London’s position as a start-up hub. The recent addition of Amazon’s headquarters in Holborn has likely contributed to this optimism. 


An agent from creative property agency, Pilcher Hershman, explained “Creative marketing and tech companies are attracted to the energy of London and are always looking for spacious offices with high ceilings and natural light.” 


The presence of Israeli start-ups is also very evident, with high profile start-ups in London including Payoneer, Gett, Taboola and Kaltura. The UK Israel Tech Hub that was launched in 2011 has now secured over £85 million worth of deals since it began.


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, commonly used by start-ups and creative advertising agencies


In workspaces, freelancers, small business and established businesses are able to rent office spaces or desks at very low costs and with flexible contracts. Customers are not tied down for long periods of time and it also appeals to companies that are expanding or going through growth periods, as they can add more desks and employees easily.


The seemingly never-ending 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 an expected recession to the country. However, the surge in popularity for office space shows more optimism than the experts suggest and who knows, maybe the country will be OK after all.

Join Jerusalem Post Premium Plus now for just $5 and upgrade your experience with an ads-free website and exclusive content. Click here>>

Related Content

Gambling dice [Illustrative]
March 19, 2019
Liberalising online gambling in Israel - could it happen?

By LEO GIOSUÈ