London office take-up rises in Q3: BNP Paribas

Total take-up of office space in London rose 6.3% in the third quarter of 2012, according to new research by BNP Paribas Real Estate.

The total supply of space within London was stable in the third quarter, rising 2.2% compared to the same period last year, while prime rents remained flat across all London-sub markets.

Interestingly, investment into the West End office market rose 30% to £950 mln (EUR 1.2 bn) in Q3, compared to £730 mln in the second quarter of 2012. Elsewhere, investment fell, with a 42% drop in The City and a 15% drop in Midtown. During Q3, no investments were made into the Docklands market.

Looking ahead, investment trading figures are likely to improve in the final quarter of 2012, BNP Paribas Real Estate said, following an influx of new investment sales in September.

Dan Bayley, managing director of Central London at BNP Paribas Real Estate, commented: 'Whilst Q3 take-up was not spectacular, there are some major deals under offer which should deliver a strong last quarter across Central London.'