London office space take-up has surged in the last three months, new data shows.
According to a study from Cushman & Wakefield, take up rose to 2.6msq ft. This was spurred by a surge in the last three months of the year when deals 41 per cent of the total annual take-up of 6.4m sq ft were sealed.
The shift in the market helped rents in the City to show signs of growth for the first time in three years - up by 3.5 per cent to hit £44.00/sq ft.
Commenting on developments, James Young, head of the firm’s City office, said: “We turned the corner in the third quarter, however, as take-up of space started to increase and in the 4th quarter we have seen a number of major transactions that have boosted the annual take-up to a respectable level.
“With rents on prime City space now showing growth, 2010 will be a time for occupiers to secure terms for their future business before the onset of a shortage of new space drives terms further in landlords’ favour.”
During the final quarter of 2009, some of the largest deals included Pinsent Masons taking out 189,000 sq ft at Crown Place and Clyde & Co’s deal for the 145,000 sq Ft at St Botolphs in EC3.