RIBA – Commercial Property is at its Highest in London and it is set to Rise

Rising property prices is causing companies to rethink how they operate with more companies choosing to share office space

04 Mar, 2015 – USA – According to a recent survey by Paul Statham, CEO of Condeco, The UK is one of the most expensive places to own commercial property with London being the most expensivecity. Last year companies spent $700bn on real estate and given the economy is improving, this figure is expected to rise and it is predicted that the pre-recession levels of $1tn dollars will be achieved in the next five years.

Mr Statham said “with the economy starting to emerge out of recession, the cost of commercial real estate is forecast to continue to spiral and businesses will still haemorrhage money unless they have access to the facts about how efficient their office space usage actually is.” He went on to say, “The most worrying aspect of this is that businesses are not aware of the extent to which their office space is under-used or their meeting rooms left empty, and it is large corporates, who own vast amounts of real estate across many cities and countries that experience this pain more than anyone else.”

Mr Statham predicts that the cost of office space in London is set to rise saying “a major trend for fast-growth multi-national companies right now is the leveraging of USPs within their workplace, such as collaborative spaces, in order to attract and retain the world’s best talent. A flexible workspace, geared to the daily demands of evolving business will not only work towards supporting better employee engagement and satisfaction, but also seriously enhancing productivity,” he adds.

Stephanie Ellrott from RIBA Venues, a meeting room provider offering meeting rooms for hire in Central London, said “there is a huge amount of office space that is not being used due to the change is office culture. More people are now working from home with companies being more flexible with how their employees work.” This statement was backed up by Mr Statham’s survey which found an alarming 58 per cent of desks in the financial services sector going unused for up to half of the day and 71 per cent of meeting rooms not being used.Ms Ellrott said “more companies are downsizing and choosing to hire meeting rooms to minimise the effects of spirally office costs. By hiring a meeting room, you are only paying for it when you are actually using it and therefore the cost saving can be significant.”

For more information just visit the website http://www.ribavenues.com/RIBAVenues/Home.aspx

Media Contact
Company Name: RIBA Venues
Contact Person: Stephanie Ellrott
Email: venues@riba.org
Phone: 02073073888
Address:RIBA Venues, Royal Institute of British Architects, 66 Portland Place
City: London
Country: United Kingdom
Website: http://www.ribavenues.com/RIBAVenues/Home.aspx

Source: ABNewswire

ReleaseID: 24416