City take-up saw strong demand in Q4 2024, reaching 1.4m sq ft, this is 59% ahead of the 10-year quarterly average and 32% ahead of Q3 levels. This brings 2024 annual take-up to 4.2m sq ft, 16% ahead of the 10-year average however down on a strong 2023, which saw 4.6m sq ft of leasing activity.

The Financial Services Sector was the largest acquirer of space in the City last quarter, accounting for 44% share of take-up, followed by Professional Services and Business Services accounting for a 20% and 5% share, respectively.

Contributing to strong levels of demand in Q4 were six deals in excess of 50,000 sq ft, the largest of which was Moody’s 142,000 sq ft letting at the refurbished 10 Gresham Street.

Increased demand resulted in a fall in the vacancy rate to 6.8% in Q4 2024 from 7.2% the previous quarter, this is its lowest level since Q2 2020. Fuelled by increased appetite for the best quality spaces, City Core prime headline rents increased to £87.50 per sq ft, representing q-o-q growth of 6% and annual growth of 10%.