West End offices
are viewed as a safe haven for overseas private investors.
Some of the biggest deals made in the West End during the final quarter of 2011 include Crosstree's acquisition of 1-3 Berkeley Street for £155 million and Al Faisal Holdings' £200 million purchase of the W Hotel at 10 Wardour Street, Cushman & Wakefield reported.
More than a third of West End acquisitions during this period were made by foreign private investors, the study found.
Meanwhile, climbing rents and a lack of quality premises bolstered competition for prime retail space.
By the end of last year, prime retail rents in the West End were an average £965 per sq ft. This represents a two per cent lift on the same time in 2010.
Rents for West End offices
surged by 7.9 per cent year-on-year to reach £102.50 per sq ft, it added.
Across the central London commercial property market as a whole, a ten per cent increase in investment volumes was noted between 2010 and last year, with this figure standing at £10.9 billion.
One of the more recent West End deals saw Great Portland Estates pre-let 64,142 sq ft of space to Savills in Marcol House at 33 Margaret Street.
Posted by David Hudek
News provided by Adfero in collaboration with Mellersh & Harding. Please note that all copy belongs to (c)Adfero Ltd and does not reflect the views or opinions of Mellersh & Harding unless explicitly stated.