London sees 5.1 million sq ft of new office starts in past six months



Over the past six months, London has seen its highest volume of new office starts on record, according to Deloitte’s Winter Office Crane Survey.


With 5.1 million sq ft of new construction starting across 43 schemes, this survey period has seen the highest volume of new starts since Deloitte extended the Crane Survey to track new construction activity across the seven Central London submarkets in the Summer 2005 edition.

The sq ft total is 16% higher than in the last survey, and with seven fewer schemes starting.

The average new scheme size rose to 119,000 sq ft, from 88,000 sq ft previously.

Refurbishment starts specifically have broken records for the second consecutive survey, with 34 schemes covering 3.3 million sq ft.

Deloitte claims that the increase in refurbishments is being driven by the anticipated tightening of minimum energy efficiency standard (MEES) regulations, coupled with tenants’ own sustainability goals. 

Sophie Allan, director for real assets advisory at Deloitte, commented: “It is fantastic to see not only the highest volume (in sq. ft.) of new starts in office construction since we started recording the London Crane Survey, but also, from the ESG perspective, refurbishment start volumes breaking records for the second consecutive survey.”

 



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