The European Medicines Agency (EMA) is to lease office space in Canary Wharf, it has been confirmed.
Under the terms of the agreement, the EMA will rent 250,000 square feet of office space at a new development in the east London financial hub. This is roughly half the space available.
The lease on the 20-storey tower owned by Canary Wharf Group runs for 25 years and will see EMA pay £56.50 per square foot.
Included in the deal is the option for the medical group to add more space at the planned building at 25 Churchill Place.
Construction is set to begin towards the end of 2011, with work set to be complete by early 2015 when the EMA is set to move in.
Commenting on the state of the market, Canary Wharf Group company secretary told Bloomberg that supply shortages of office space caused by projects being scrapped at the height of the credit crunch will drive prices higher in years to come.
He said: “There’s likely to be a tightening of supply in offices in 2013 to 2015 just because there hasn’t been a lot of new build in the central London.”