MarketWatch – London’s West End district remains the most expensive place in the world for office space, with rents in this area of the U.K. capital now averaging $185.60 a square foot, up 10% in a year.
The West End — home to many private equity and hedge fund companies — retains its No. 1 global ranking from last year, according to a survey of office occupancy costs from property consultants CB Richard Ellis.
The year to March was an ideal environment for the private equity and venture capital industries, noted analysts at Fortis Private Investment Management.
“We’ve seen quite a trend recently of private equity and hedge fund (occupancies). That’s had quite an impact on rental growth because they’re prepared to pay higher rental levels than most other occupiers,” said Sarah Bate, a partner at Knight Frank, a property company.
Private equity and hedge fund firms typically cluster around London’s affluent Mayfair district, where the highest rents are usually recorded, because it provides the easiest access to wealthy clients.
