Interest in leasing office space has reached its highest level since before the pandemic, indicating that more companies are increasing their in-office presence despite ongoing support for remote work.
Rightmove’s latest Quarterly Commercial Insights Tracker shows a 19% rise in demand for office leases compared to the same period last year. The data is based on the number of enquiries made to commercial agents about available office spaces for lease or purchase, according to Property Wire.
High-end office buildings are attracting the most attention. There is also growing interest among medium-sized businesses in fully furnished offices that are ready for immediate use, avoiding the time and cost of setting up the space themselves.
Landlords are meeting this need by offering more turnkey solutions, which have become a common feature across many commercial property portfolios.
Despite common frustrations associated with office work — such as commuting, uncomfortable temperatures, and inadequate amenities — many companies are prioritizing top-tier office spaces in desirable locations to attract and retain talent.
This quarter, investment interest in office properties has overtaken that in the industrial sector, with office investment enquiries rising 75% year-on-year, compared to a 70% rise for industrial properties.
Leasing demand in other commercial sectors also remains strong. Leisure and hospitality spaces, as well as industrial units, have both seen a 37% increase in leasing enquiries over the past year, supported in part by ongoing demand in the e-commerce market.
