Office fit out costs across Europe rise 9%, with London most expensive
A number of office occupiers are planning high end ‘fit-outs’
/ PA Archiveusinesses wanting a high quality office revamp as they seek more attractive workplaces post-pandemic will find London is the most expensive place in Europe to do so, research shows.
London has topped a list of the most expensive places in Europe to carry out high end ‘all in’ fit out projects, which look at most interiors including furniture and meeting rooms for example.
The price forecasted for 2023 in the capital is around €3,790 (£3,321) per square metre. Manchester (€3,174 per square metre) and Birmingham came second and third in property firm Cushman & Wakefield’s ranking, with a number of German cities also in the top 10.
The company said costs across Europe have risen by an average of 9% over the last year, and the increase is broadly in line with the peak rate of inflation encountered in the UK and euro area.
But it added that bills in the UK are also being pushed up due to high expectations from tenants in terms of design sophistication and tech quality on site.
Nic Wilkinson, chair of project and development Services EMEA at Cushman & Wakefield, said: “Three years on from the Covid-19 pandemic, delivering office fit outs that reflect current working strategies has never been higher up the agenda.”
Wilkinson added there is demand for best-in-class space of which there “is a considerable lack of supply and sizable cost and logistical considerations”.
Hybrid working has been adopted by numerous employers post-pandemic, with staff often in offices for only part of the week and doing their jobs from home for the rest of the time.