CoStar Data Shows London Demand for 4 Star Offices Topping 40% in the City Core despite Top-Quality Space Shortage
Business Wire•29/10/2026•05:00 ET
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Key Highlights
- ➤42% of Central London 4-Star office demand came from the City Core in 2026
- ➤City Core 5-Star office vacancy fell to 2.1%, a 15-year low
- ➤London City Core delivered over 12 million square feet of offices over 10 years
- ➤New tower rents exceeded £150 per square foot at One Leadenhall Street and 8 Bishopsgate
Expert Statements
Patrick Scanlon, Senior director of market analytics at CoStar Europe
“The strength of the flight-to-quality trend, a fundamental part of which is location quality, has created such tightness and high rents at the top end that demand has begun to spill over into good-quality refurbished stock that meets modern occupiers’ needs.”
Patrick Scanlon, Senior director of market analytics at CoStar Europe
“This is particularly important, given that over 12 million square feet of new office space has been delivered in the submarket over the last 10 years, equating to more than 35% of new deliveries in Central London”
CoStar Data Shows London Demand for 4 Star Offices Topping 40% in the City Core despite Top-Quality Space Shortage
London City Core saw an increase in office demand, as vacancy rates for best-in-class space fall to 2.1%, according to data from CoStar , a global leading provider of online real estate marketplaces, information and analytics in the property markets.
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