West London office rents set to rise

Office rents in the West End of London will continue to rise throughout 2008, new research has revealed.

According to a Knight Frank survey, rates in the West End will increase by five per cent in the next 12 months.

However, rents for offices in the City of London are set to remain unchanged during 2008 but could dip in the early part of 2009.

Head of City with Knight Frank, Guy Napier, revealed that the dip in City office rents was not a cause for concern.

He said: "We are predicting a correction not a calamity in 2008. We believe that the bad news is now largely priced into the market, and already properties that just three months ago were attracting little interest are seeing increasing activity."

Mr Napier added: "At the moment the sovereign wealth funds, together with Australians, Canadians, and Irish are keen to invest in London."

By the beginning of next year West End offices could be worth £118 per square foot.

Martin Slowe Property Services are Commercial Property Consultants offering a full range of Commercial Property Services.