The cost of London offices may fall significantly in the next two to three years as demand for office space will remain low amid remote working and downsizing in some companies, experts believe Citi.
According to analysts of the investment bank, the cost of offices in the British capital will decrease by 38% over the period specified in the forecast.
Analysts say that the owners of office buildings in the next four years will have to reduce the cost of rent by 43%. Against the backdrop of falling rental prices office buildings will have to sell at a price more than 40% below current market value.
At the same time, analysts note that the duration of such a decline will mainly depend on how soon the inflation rate will slow down.
