Summary by James Young, Head of the City Office, Cushman

PROPERTY DIRECTORY
City
33 Holborn, p77
1 Plough Place, p68
Summary by James Young,
Head of the City Office, Cushman & Wakefield
the market, this occupier movement
has demonstrated a vote of confidence
for a return to growth during 2010.
It has also helped to prevent prime
City rents from falling any lower
(bottoming out at around £42.50 per
sq ft in the City core) with a relatively
limited supply of large, prime space in
the pipeline.
This change in sentiment is
encouraging developers to scrutinise
future supply with a view to delivering
their new schemes to the market at the
appropriate time.
At the end of 2009, 6 million sq ft of
space was under construction and due
to complete between 2010 & 2012
with over 60 percent of this having
been pre-let. For those able to secure
funding, 2010 could see a return
to speculative development starts,
although many of the higher profile
schemes are likely to be deferred
for longer.
Whilst 2010 is unlikely to see rents
return to the heady pre-credit crunch
days, rental growth is expected to
return during the course of the year
and particularly through 2011
and 2012.
New Street Square, p72
10 St Bride Street, p63
Whitefriars, p7
One Tudor Street, p76
© Google - Map Data © Tele Atlas
The City office market has
undoubtedly suffered a sharp and
alarming downturn, but unlike other
key global office markets much of the
pain was felt early on. Throughout
2008 and into 2009, landlords halted
development and major occupiers
deferred decisions on property,
leading to devastatingly low levels of
take-up. The turning point was evident
during the middle part of 2009.
Nomura’s leasing of Watermark
Place, a brand new Grade A scheme
of 525,000 sq ft overlooking the
River Thames, raised eyebrows
with headline-grabbing levels of
incentives being offered in order
to secure the tenant. This meant a
large proportion of prime supply
had been removed from the market
just as agents were advising their
occupier clients that now was
the time to secure prime space at
historically low rents. Occupier
activity, particularvly for prime space,
subsequently improved, and a number
of significant transactions on other key
developments have since been agreed.
As well as being a time to fix long
term property costs at a low point in
6 St Andrews
Street, p69
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107 Cheapside, p71
Tea Building, p63
3 Bunhill Row, p68
1 Bunhill Row, p67
The Broadgate Tower, p60
Milton Gate, p66
Eden House, p74
30 Crown Place, p62
Ropemaker Place, p60
The London Fruit and Wool Exchange, p64
12-15 Finsbury Circus, p78
Park House, Finsbury Circus, p71
One Coleman Street, p77
Dashwood, p72
100 Wood Street, p68
Heron Tower & Heron Plaza, p69
10 Gresham Street, p78
150 Cheapside, p75
10 Old Bailey, p76
Drapers Gardens, p64
33 Old Broad Street, p69
60-70 St Mary Axe, p76
20 Gresham Street, p62
6 Bevis Marks, p62
5 Cheapside, p75
One New Change, p72
St Botolph’s, p73
Aldgate Tower, p65
30 St Mary Axe, p70
Bow Bells House, p74
The Leadenhall Building, p61
14 Cornhill, p70
10 Mansion House Place, p67
Goodman’s Fields, p64
The Walbrook, p73
Cannon Place, p70
The Rex Building, p65
10 Fenchurch Street, p75
Twenty Fenchurch Street, p73
10 Queen Street Place, p71
Watermark Place, p63
Riverbank House, p67
Bankside 123, p71
London Bridge Place, p74
The Shard, p74
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