The demand for office space in Central London has seen a leading developer let a record level of commercial space in the last 12 months.
According to developer Great Portland Estates, which has a property portfolio valued at £2 billion in the Capital, commercial rentals for the firm totaled over £29m during the last year – with foreign investors and office space demand from tech and media firms said to have boosted the market.
By securing a £43 million investment from Brookefield Properties, Great Portland Estates are now in a comfortable position to go ahead with the construction of new London-based offices.
Brookfield Properties, which already own 22% of Canary Wharf, now have a 50% stake in the development at Bishopsgate.
Analysts, at JP Morgan Financial Services, have said that the development could cost up to £560 million and that, “The project was too big for Great Portland to comfortably do alone, in our view.”
As a result, without this financial backing the development may have been put on hold.