London Office Market Overview

Your Content Goes Here Interest rates, quality & sustainability High interest rates are being blamed for a slump in Central London’s office market, in the first 6 months of 2023, with investor spend on buildings dropping by more than 50%.  The total investment volumes were 55% lower than a year earlier, and a 42% fall from the ten year average. Rising borrowing costs add further pressure to a market that is undergoing big change, for a variety of reasons. Hybrid working remains popular, post pandemic, and other factors such as “Best in Class” and sustainability are both having their effect On borrowing costs, Julian Sandbach, head of central London capital markets at  JLL said: “The extent of the slowdown in capital invested in central London commercial real estate in the first half of 2023 is profound. The effects of rising interest rates have had a material impact on pricing and confidence as investors continue [...]