Office conversions in London’s West End have nearly tripled over the last ten years.
Figures from EGi’s London Residential Research show the number of applications submitted for conversion of offices to other uses in the London boroughs of Westminster, Kensington & Chelsea and Camden reached 93 in 2012, up from 37 in 2002. Last year’s number is up over 50% on 2011.
The news comes as several local authorities in the capital have announced they will seek an exemption from government plans to roll out proposals to convert offices into residential without planning permission. The City of London Corporation, Camden, Westminster and Kensington & Chelsea are seeking a joint exemption for the Central Activities Zone saying it will have adverse economic consequences on their boroughs.
Split by conversion to residential only, the number of applications submitted in the three boroughs has risen from 19 in 2002 to 52 last year. That figure is up nearly 60% on 2011.
John Bentham, research analyst at EGi’s London Residential Research says: “The ever growing discrepancy between residential and office values in prime central London locations is driving this loss of office space to make way for residential accommodation. Given the global appetite for high end residential accommodation in London, and the limited availability of stock, this seems likely to continue.”
Click on the slideshow below to see how office to resi conversions have increased since before the recession in 2006, to 2011 and then to 2012.
Click on the map then the icon in the right corner for full screen.
Interactive bar chart showing London office conversions
See this week’s Estates Gazette for more analysis on how the London boroughs are putting government plans to boost housing under threat.
Conversion of office to residential space will be examined in greater detail in EGi’s London Residential Review in May.
nadia.elghamry@estatesgazette.com
