The real impact of coronavirus on London’s office market has not yet been felt, with job losses and business failures likely to increase vacancies and drag down rents, according to one of the capital’s leading landlords.
Derwent London, which owns the Brunel building in Paddington and the White Collar Factory on Old Street, said the “true impact of the lockdown” was yet to be reflected in the market, and predicted sweeping changes for workplaces because of coronavirus.
Vacancies across London’s offices will “undoubtedly” rise, according to Paul Williams, Derwent’s chief executive. That in turn is likely to put pressure on rents, said the company as it announced its results for the six months to June 30 on Tuesday.
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