Office building in London has jumped sharply as developers rush to take advantage of rising demand from business tenants.
The amount of office space being built in central areas of the capital rose 24 per cent in the six months to the end of March, a survey of construction activity by advisory firm Deloitte has found — the second-biggest increase in 20 years.
In total, 9.5m sq ft is under construction, with nearly half of all development located in the City, where several new skyscrapers are under way.
Property developers are responding to rising corporate demand from businesses since Britain’s economy returned to growth, the research showed.
In particular, the increase in occupier demand came from technology and creative sectors, which comprised half of all new lettings in the period.
Little new space was built in central London in the five years after the financial crisis, meaning that occupiers now face a supply shortage.
Source: www.ft.com
