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Office development continues to slow at Liverpool Street

30th October 2012

Office development continues to slow at Liverpool Street

Progress on an ambitious development which has been under way on Bishopsgate, and which will eventually house offices in Liverpool Street, has been slowing down. Experts at Morgan Pryce, the London-based property agent, believe that one factor contributing to this slowdown is that the demand for offices in Liverpool Street is still not high enough to ensure the success of developments such as this.  

Plans for the 40-storey tower, 100 Bishopsgate, were passed with the intention of providing 900,000 square foot of office space in Liverpool Street. However, in order for this development to be viable, a tenant needs to be found. One of the investors, Great Portland Estates, is clearly aware of this issue, having recently sold 37% of its stake in the development. 

Rhodri Mason, surveyor at Morgan Pryce, states that, “There are a lot of available offices in Liverpool Street including several impressive skyscrapers such as Heron Tower, and the Pinnacle which is currently under construction. One can understand why finding a tenant is challenging with so much new space on the market.”

However, “Developers should not be too hasty to be put off,” says Tom Lax, also of Morgan Pryce, “Insurance, technology and media companies have suddenly started paying a lot of interest to the City, with a significant take-up of office space.”

Completion of developments such as 100 Bishopsgate will hopefully coincide with the rise of interest in offices in the City and as a result there should be no shortage of supply of luxurious offices in Liverpool Street.

Morgan Pryce is a specialist tenant acquisition agent with offices in Oxford Circus and the City. Morgan Pryce specialises in search, negotiation and project management and works exclusively for tenants. 

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