Developers in the Square Mile started on more space in the first three months of the year than in the whole of 2013 or 2014.
The rise was driven by work beginning on major developments including the Scalpel, EC3, and London Wall Place, EC2, which will together provide 1.4m sq ft of new City space. Groundworks are also under way at 100 Bishopsgate, EC3, albeit with full construction awaiting a prelet.
But this fresh activity has done little to ease the supply squeeze, with the availability rate failing to budge from 7%. The rate has not been this low since
Q1 2008 – 27 quarters ago.
City development made up 68% of London’s construction starts in Q1, with the balance split between the West End and Midtown.
For a full breakdown of figures from EGi’s latest London Offices Research, click here
