Office rents in London’s skyscrapers are the highest in Europe, according to estate agents Knight Frank’s global cities 2018 report published today. The capital is the only European city to make the global top 10 in the ranking.
Thursday 28 September 2017 7:00am
Office rents in London’s skyscrapers are the highest in Europe (Source: Getty)
Prime rents in London’s skyscrapers remained at $110 (£82) per square foot (sq ft) in the first half of 2017, approximately double the rents in tall buildings in Paris ($58 per sq ft) and Frankfurt ($54 per sq ft).
Globally, Hong Kong remains the most expensive city for office rents at $304 per sq ft, followed by New York and Tokyo at $162 per sq ft and $140 respectively.
James Roberts, chief economist at Knight Frank said: “That London still commands the highest skyscraper office rents in Europe, despite the Brexit uncertainty, is a statement of its resilience and popularity as a business location. Firms are willing to pay more to be in London skyscrapers than those in Frankfurt because they view the UK capital as a more important international hub.”
However, since last year London has slipped from fourth to fifth place in the index.
Roberts called for clearer business policies to ensure London remains a global business hub.
Prime office rents for upper floors in skyscrapers - Q2 2017
City
|
Rent (US$ / sq ft / per annum)
|
% growth in six months to Q2 2017*
|
Rent (US$ / sq m/ per annum)
| |
|---|---|---|---|---|
1
|
Hong Kong
|
$304
|
1.1%
|
$3,273
|
2
|
New York (Manhattan)
|
$162
|
1.8%
|
$1,742
|
3
|
Tokyo
|
$140
|
0.0%
|
$1,502
|
4
|
San Francisco
|
$117
|
3.5%
|
$1,259
|
5
|
London (City)
|
$110
|
0.0%
|
$1,187
|
6
|
Sydney
|
$107
|
3.4%
|
$1,149
|
7
|
Boston
|
$77
|
0.0%
|
$829
|
8
|
Shanghai
|
$67
|
-3.9%
|
$719
|
9
|
Singapore
|
$66
|
-0.9%
|
$711
|
10
|
Beijing
|
$66
|
7.6%
|
$710
|
11
|
Chicago
|
$62
|
1.6%
|
$667
|
12
|
Paris (La Défense)
|
$58
|
0.0%
|
$628
|
13
|
Toronto
|
$58
|
11.9%
|
$620
|
15
|
Melbourne
|
$56
|
4.6%
|
$608
|
16
|
Mumbai
|
$56
|
1.8%
|
$607
|
14
|
Frankfurt
|
$54
|
0.0%
|
$582
|
17
|
Los Angeles
|
$45
|
-2.2%
|
$484
|
18
|
Dubai
|
$44
|
0.0%
|
$469
|
19
|
Taipei
|
$41
|
0.0%
|
$442
|
20
|
Madrid
|
$39
|
0.0%
|
$424
|
22
|
Manila
|
$33
|
0.0%
|
$356
|
21
|
Seoul
|
$30
|
0.0%
|
$324
|
23
|
Kuala Lumpur
|
$23
|
-0.8%
|
$250
|
