London skyscraper rents remain high despite Brexit

London skyscraper rents remain high despite Brexit

Research released by property adviser Knight Frank has found that the rents in the London skyscraper market remained at record levels in the first half of 2016..

The data, which was released in Knight Frank’s Global Cites 2017 report, found that the average rent for London skyscrapers in H1 was $114 per sq ft (approximately £86.30).

This is one of the highest rent prices in the world behind Hong Kong (£211), New York (£120) and Tokyo (£113).

San Francisco (£85.60) was marginally behind London, despite a 2.7% growth in the first half of 2016.

Although there has been no decline in rents in London for Q2, it was reported that there was no growth either.

Other cities had substantial growth in rents, including Shanghai, which grew by 7.6%, and Sydney (6.5%).

Singapore was the only city in the Knight Frank skyscraper index that experienced a decline (-7%).

Will Beardmore-Gray, head of consultancy and occupiers at Knight Frank, said: “We have seen strong rental growth in London’s skyscrapers over the past two years, and rents remain resilient in spite of the economic uncertainty arising from the European [Union] referendum result.

“Demand for space in London's skyscrapers is undiminished with a number of deals done already in the second half of the year at very good levels.”

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