The demand for office space City of London is still good despite the current economic climate. The City of London is definitely still the place to be when it comes to business. Over 15,000 firms locate themselves within its boundaries and at any one time around 300,000 people work out of the City. 44% of central London’s office space is located within the square mile.
There is a certain amount of prestige to having an EC, WC or E1 postcode. The ‘square mile’ is recognised across the globe as the home of the best firms in the world. A City of London address inspires confidence and definitely brings in extra business.
However, that is far from the only reason why demand for office space in the district remains strong, even in a recession. The infrastructure in the area makes it a particularly good place to do business. It is extremely well connected with all of the capitals major rail stations being within a 5-10 minute journey time. Getting there by road or plane is also easy.
Being located in close proximity to so many other businesses provides plenty of opportunities for firms based there. Work virtually falls into the lap of those firms who offer a good service.
Trends affecting office space City of London via Newton Perkins:
Since 1915 when Newton Perkins was founded they have seen demand for business space in the City of London change drastically. Demand comes in waves from different sectors of the financial services industry. Currently it is the insurance sector who is seeking to locate themselves in the City. In many cases, it is large firms that are doing so. Their long-term leases are coming up for renewal, so they are looking for a new base, and many are snapping up City of London addresses.
Newton Perkins estimate that in the next few years insurance companies will be looking for a total of 1.6m sq ft of office space. The advantages that a City of London location and address offer means that lots of insurance companies will re-locate there.