Retail giant Marks & Spencer is in talks to sublet 160,000 sq ft of space in Paddington, W2, to prolific flexible office provider WeWork.
The company appointed Knight Frank in March to help it sublet its space at European Land’s 5 Merchant Square and is close to agreeing a deal with WeWork on the whole of the building.
Marks & Spencer occupies three buildings in Paddington and is making staff cutbacks as it streamlines its business.
M&S signed at the space in 2008 on a 30-year lease, paying a rent of close to £53/sq ft. Average Paddington rents are currently around £65 per sq ft.
As of June, WeWork hasd more than 15,000 members in London across at least 14 buildings, accounting for 7.13% of total central London take-up in the last 12 months. It ranks third across central London occupiers on take-up over the last 10 years.
JLL is advising WeWork.
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