Flexible office space accounted for more than 4.5m sq ft of take-up in London over the past five years as the capital has cemented its place as the leading global market for co-working, according to Cushman & Wakefield.
In 2016, flexible office take-up amounted to 842,888 sq ft across central London, representing 8.8% of total take-up – slightly above the five-year average of 8.4%, but down on 2014 and 2015, when more than 1.2m sq ft of flexible space was leased (see table beow).
Juliette Morgan, international partner and head of C&W’s global tech group, said: “The boom over the past five years has been fueled by the gig economy, as well as a thriving technology sector which means traditional working patterns have changed irrevocably. We are also now seeing larger corporates including the likes of HSBC and Microsoft wake up to the trend and place staff in co-working spaces as means of collaboration and access to talent. It is also a signal to the market that as a large company you recognise and embrace innovation.”
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Flexible office space accounted for more than 4.5m sq ft of take-up in London over the past five years as the capital has cemented its place as the leading global market for co-working, according to Cushman & Wakefield.
In 2016, flexible office take-up amounted to 842,888 sq ft across central London, representing 8.8% of total take-up – slightly above the five-year average of 8.4%, but down on 2014 and 2015, when more than 1.2m sq ft of flexible space was leased (see table beow).
Juliette Morgan, international partner and head of C&W’s global tech group, said: “The boom over the past five years has been fueled by the gig economy, as well as a thriving technology sector which means traditional working patterns have changed irrevocably. We are also now seeing larger corporates including the likes of HSBC and Microsoft wake up to the trend and place staff in co-working spaces as means of collaboration and access to talent. It is also a signal to the market that as a large company you recognise and embrace innovation.”
She added: “Large corporates that traditionally offered big salaries but sterile working environments have had to up their game in response to the growth of the tech sector, which has been attracting the cream of the talent pool. This has led to an increased focus on stimulating workspaces that spark creativity and improve employee satisfaction in order to secure and retain the brightest minds.”
London take-up
Year
Flexible office take-up (sq ft)
Flexible offices as % of total take-up
2012
501,629
7%
2013
684,065
6.1%
2014
1,267,926
10.2%
2015
1,238,064
10.1%
2016
842,888
8.8%
10 year annual average (2007-2016)
605,490
5.5%
5 year annual average take-up (2012-2016)
906,914
8.4%
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