Morning:
14°c
Hong Kong beats London as costliest place to rent offices
Mira Bar-Hillel26.02.09
FOR the first time in nine years London's West End is no longer the most expensive place in the world to occupy office space.
A new survey, by agents Cushman & Wakefield, shows it has been overtaken by Hong Kong and Tokyo. The report concludes that London's plunge was caused by a 23 per cent drop in West End rents - and the collapse in the value of the pound against other currencies, especially the euro.
The cost of occupying a prime square metre of office in Hong Kong now stands at €1,743, followed by Tokyo, where office space costs €1,649 per sqm.
The West End, which is still the most expensive location in Europe, follows at €1,403 per sqm. James Young, head of Central London offices at C&W, said the fall could be seen as an opportunity for occupiers to renegotiate their leases.
