According to Morgan Pryce, the London-based commercial property agent, office space in Victoria is increasingly becoming one of the most sought-after areas for large occupiers to move into. Potentially, offices in Victoria could rival large commercial space in offices in the City.
This trend has been highlighted by Italian energy giant ENI, which is believed to be involved in an offer on 150,000 square feet of office space in Victoria, at 62 Buckingham Gate. Sources are under the impression that Land Securities, which owns 62 Buckingham Gate, is set to achieve £70 per square foot on the deal. This would more than justify Land Securities’ strategy of focusing on offices in Victoria, which, as an area, is expected to deliver millions of commercial and residential space over the next 5 to 10 years.
ENI lease bucks the trend
ENI is expected to agree on a lease of in the region of 15 years: this is a very long lease compared to what is being achieved for most offices in London – especially for offices in Victoria. John Eden, of Morgan Pryce, says, “This is a throwback to how leases were formed 10 years ago; you don’t see many leases that long for offices in London these days.”
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.
