Rental values for office space in the centre of London are continuing to rise, according to one of the UK’s leading commercial property companies.
Figures from British Land reveal that rents for centrally located offices in the capital have now increased for three consecutive quarters.
The improvement in conditions in the sector saw British Land’s net asset value per share rise by 12.5 per cent for the year, to hit 567p.
Chris Grigg, Chief Executive at the company, cited the turnaround in conditions in the market as the chief reason for British Land’s strong performance over the last 12 months.
“We are invested in the right sectors – that is high-quality retail and central London offices.
“We see signs now of rising rents in both of our sectors. That’s both important, a change, and somewhat different from what many others in the industry are seeing.”
British Land’s activities in the next 12 months are likely to be dominated by development of a number of high profile buildings in central London, encompassing 2.2m sq ft of office space.