Workthere makes H1 2024 desk rate predictions for flexible office space in London

According to Workthere, occupancy levels in London’s flexible office market remain robust with continued demand for best-in-class spaces across Zones 1 & 2. In line with this, the flexible office specialist notes that pricing has remained competitive, which is expected to continue throughout the year. 

Driven by a shortage of supply, London’s West End in particular is seeing an increase in desk prices in some areas when compared against H1 2023 figures, with Mayfair rising 10% from £1,000 to £1,100 per desk. Other key markets that are seeing a desk price increase include Midtown from £700 to £800, reflecting a 14% growth and the City core from £700 to £760, increasing by 7%.

Workthere notes that key factors driving desk rates up in these markets include: the competition for Grade A space; the connectivity offered by the new Elizabeth line across London resulting in a number of operators and occupiers taking advantage of the improved transport links and the City core and midtown specifically recovering as major transport hubs as more staff return to the office.

Piers Mallitte, Associate Director, Workthere, comments:

London is one of the most mature flexible office markets globally and has continued to make steady progress. Our latest H1 2024 price per desk London map highlights our predictions - and prices we have already traded at this year - with most areas rising. This is due to the growth of managed stock across the board as well as the increased quality of space available. There has been an undeniable flight to quality, which has resulted in a smaller set of best in class options to choose from and ultimately higher quoting rents.