London’s Midtown, which is comprised of Holborn, St Giles and Bloomsbury, has traditionally been seen as an in-between area, with the City on one side and the West End on the other, but in recent years the district has attracted investment and a new breed of company looking to make the most of its location and relative affordability.
A recent article by Property Week based on a study by Farebrother CORFAC International found that office lettings in the London district have increased by 76% to 2,385,625 sq ft, up from 1,354,565 sq ft for the same nine month period last year.
In further good news, take-up in Q3 of this year stands 24% above the 10-year average, suggesting a bullish market that has not just overcome but exceeded the slump in demand created by political uncertainty in 2016. The boost is in part driven by five deals of 40,000 sq ft or above, while serviced offices comprised 24% of total demand in the quarter.
Midtown is also proving attractive to a diverse range of businesses, with new lettings to Spotify, Verizon, Metro Bank and Saatchi.
86% of the investment in Midtown for the three quarters was from overseas sources, signalling an international confidence in the buoyancy of the London commercial property sector.
The area has benefitted from a wave of redevelopments and new builds that have boosted its commercial property profile and there is currently 1.5m sq ft of office space under construction. Moreover, Midtown’s infrastructure has seen an injection of investment in recent years, with Crossrail running through the heart of the district alongside redevelopments of Holborn and Tottenham Court Road stations.
The rising profile of Midtown has been partially driven by inmidtown, a business improvement district representing businesses in the area, which secured £15m in funding in 2015.