Predicted price rises for London offices may make it a good time to relocate your office
An article about London office prices increasing, which may make it a good time to move.
Great Portland Estates has reported a significant increase in their net assets as more and more prime London office space has become occupied.
This then may indicate a wider market trend with an overall increase in the demand for London office properties and a subsequent increase in office rental prices.
In fact the company’s 15.5% profit increase may indicate that it is a good time to occupy new offices before demand and prices increase further.
Toby Courtauld, chief executive of the company, said, "London's property investment recovery gathered pace over the past six months, supported by the significant volume of capital competing for a limited number of assets.
For the recent rise in capital values to be sustainable, further growth in rental values is important and, helpfully, conditions are improving at the prime end of the London office leasing market.”
In fact Mr. Courtauld said that many of the company’s office properties had significantly increased in value in the last five months, with some increasing by up to 24%. However the average was approximately a 15% increase per office, since this time last year.
Mr Courtauld added, “We are also seeing encouraging signs of life across the broader leasing market and, absent an economic setback, we expect office rents to rise selectively during the second half of 2010."
With this recent increase in office property prices, and more office price increases still expected, it may be a good time to lease office space in London and then relocate your company.