Silhouette of construction

Insights

The London Office Crane Survey Winter 2016

Supply and demand: the shifting balance

Our latest Crane Survey tracks every office scheme under construction across central London, as well as importantly looking ahead at the potential delivery of space and its future impact. The key factors impacting the choice of new buildings and the outlook for businesses taking new space are also identified.

Additionally, three emerging markets have been added to the survey, which for the first-time, extends the research outside of core central London.

Explore our data

Central London
22
Number of new
construction starts
200,000
sq ft
Total amount under
construction
Amount of space under
construction let

Key business sectors
leasing space

Office development pipeline

120
Number of schemes
under construction
7.9
Demolition level
million sq ft
% new build vs
% refurbishment

Central London office space under construction and volume of new starts

Occupier leasing activity on space under construction

Financial
42%
TMT
33%
Corporate
10%
Legal
9%
Professional
2%
Insurance
2%
Government
2%
Central London
vacancy rate %
6.24
Central London
take-up Q1-Q3 2016
(million sq ft)
More space 41%
Less space 0.4%
Consolidation - More space 41%
Consolidation - Less space 14.7%
New entrant 0.7%
Reasons for moving to new space
Show all statuses
Existing scheme
New start
Completed
City
Docklands
King's Cross
Midtown
Paddington
Southbank
Stratford
West End
White City
Vauxhall-Nine      Elms-Battersea

Scheme number:

Scheme name:

Postcode:

Developer:

Tenant:

Completion date:

Total sq ft:

Space available sq ft:

Key findings from our latest crane survey

  • The volume of office construction has increased by 4% over the past six-months to 14.8 million sq ft, an eight-year high
  • However, construction momentum has slowed – 40 new schemes started over the past six months, compared with 51 in our last survey
  • 41% of the space currently under construction has already been let
  • Developers concern over future tenant demand
  • We continue to forecast rising delivery in 2017 and 2018, but the peak has shifted to 2019-20
  • Prime rents expected to fall in 2017 with incentives moving out
  • Emerging submarket construction activity to complement central London supply
  • Internet of Things and new technology is set to revolutionise the workplace with the creation of Intelligent Buildings.

Discover our infographic

About the London Office Crane Survey report

Established over 20 years ago, the London Office Crane Survey monitors the supply of new office developments in the main central London markets. Reflecting the emergence of new office hubs, Stratford, Battersea & Nine Elms, and White City are included in the report for the first time, adding to previous locations of City, West End, Canary Wharf, Midtown, King’s Cross, Southwark and Paddington.

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