It has been highlighted by CBRE that the demand for London-based office space has continued strongly throughout the first quarter of 2016, despite both fears that organisations may err on side of caution from the possibility of Brexit, as well as the traditionally quiet nature of the start of the year.

As a whole, it has been reported that some 3.1m square feet of office space in London was acquired throughout the period and, while the figure does sit marginally below the ten year average volume of 3.2m square feet, it does come at a time whereby a much more substantial drop was to be expected. Additionally, the volume of space presently under offer also remains the same from the final quarter of 2015, with 3m square feet still maintained (a value which is instead marginally above the ten year average of 2.8m square feet).

As previously highlighted, the supply for such space may not be able to keep up with the demand for it however. Supply did indeed increase by 2% throughout the quarter, bringing the quantity up to 12.2m square feet, yet this still falls circa 17% short of the 10-year average. Of course, with this also being regarded as one of the quieter quarters of the year, how demand and supply will compare in the coming quarter is unknown.

Emma Crawford, CBRE’s Head of Central London Leasing highlighted how the “weak” prospective for global economic growth, as well as the potential for Brexit has thrown a degree of uncertainty into the laps of businesses, yet the level of demand has still yet been maintained. She explained: “That demand for office space has remained so resilient speaks volumes for London’s ongoing attractiveness as a global hub for those companies hoping to lay down roots or expand their footprint in the capital.”