2025年第三季度东南和大伦敦办事处

Key takeaways Executive Summary TMT UPTICK SUPPORTS STRONGERMARKET PERFORMANCE. LEASING LEVELS – HIGHEST SINCEBEFORE THE COVID-19 PANDEMIC INVESTMENT SHOWS IMPROVEMENT Investment activity across theSouth East and Greater Londonstrengthened in Q3, with £291 millionof assets traded, marking the highestquarterly total recorded in 2025 sofar. A key transaction during theperiod was Iroko Zen’s £58 millionacquisition of One Lyric Square inHammersmith, the first deal of theyear exceeding £50 million and aclear indication of improving investorappetite for well-priced, high-qualityassets. Looking ahead, a further£252 million of investment dealsare currently under offer, with anadditional £1 billion of assets activelybeing marketed. Although totalinvestment volumes remain below thelong-term average, the data indicatesa renewed return of vendors andhealthy liquidity from both privateequity and UK property companiespursuing core-plus opportunities. In the third quarter of 2025, a total of806,000 sq ft of leasing transactionswere completed across the South Eastand Greater London office markets,representing a 4.2% increase comparedwith the previous quarter. Each quarterof 2025 to date has recorded take-upabove 800,000 sq ft, marking the firsttime since 2019 that activity in thefirst three quarters has consistentlysurpassed this level. As a result,year-to-date take-up has reached2.7 million sq ft, reflecting a 15%increase on the same period in 2024and standing 20% above the long-termaverage. Overall, leasing activity in2025 so far represents the strongestperformance recorded since before theCOVID-19 pandemic. Following two years of subduedperformance, the Technology,Media and Telecommunications(TMT) sector has re-emerged asa key driver of office demand in2025. So far this year, occupiersfrom the sector have accounted for634,000 sq ft of take-up across 68transactions, representing 24% oftotal market activity. This marksa significant improvement on2024, when the sector contributed372,000 sq ft across 34 deals. In theSouth East, GVA for the broaderdigital and communications-intensive industries is estimatedto have grown by approximately6% in 2025, with headcount in theregion’s TMT sector forecast to riseby a further 6% over the next threeyears, underlining its increasingimportance to occupier demand inthe office market. 2 1 3 The TMT sector hasre-emerged as a key driverof demand, contributing24% of total take-up. Leasing levels in 2025, thehighest since before theCOVID-19 pandemic. Reading accounts for 19% oftotal take-up in 2025. READING LEADS LEASING ACTIVITY. Reading has proved the most activemarket in the South East and GreaterLondon region, accounting for 19%of total office take-up in 2025. TheGreater Reading area has recorded499,562 sq ft of take-up so far thisyear, representing a 17.5% increase onQ1–Q3 2024 and 56.6% above the long-term average. This strong performancecontinues to be driven by sustainedoccupier demand for new, high-quality,and well-located developments. DEVELOPMENT IS NOT KEEPINGPACE WITH DEMAND. MIND THE GAP Prime office yields in the South Eastremained at 7.00% in Q3, reflectinga notable spread relative to Londonbenchmarks. The disparity isparticularly evident when comparedwith yields of 5.25% in the City and3.75% in the West End, highlightingattractive opportunities for investorsseeking value outside the capital.With limited new supply, sustainedrental growth, and an improvingavailability of ‘sale-ready’ stock,expectations are building that abroader buyer pool and increasedcompetition will begin to placepressure on pricing moving forward. Development activity continuesto be limited, with just 1.6m sq ftof speculative office space underconstruction at quarter end. Asignificant portion, around 60%,of this pipeline is located inWest London and Cambridge,meaning supply levels acrossother major markets in the SouthEast are tightening. 4 5 Notable transactions in the thirdquarter included Lincoln MGT’sagreement with energy companyCentrica for a 41,971 sq ft lettingat One Station Hill, Reading. Inaddition, Boehringer Ingelheim,a global pharmaceutical firm,completed a 36,497 sq ft deal at1180 Winnersh Triangle, owned byFrasers Property UK. Prime South East office yieldsremain at 7.00% providingcompelling value againstCentral London. Investment showsimprovement, with £291mof assets traded in Q3,the strongest quarterof 2025 so far. At 1.6m sq ft, speculativedevelopment is not keepingpace with demand. This limited supply stands inmarked contrast to the 3.8m sq ft ofactive occupier requirements acrossthe region. The Grade A vacancy rateremains below 6%, demonstratingthat demand continues to exceed theavailability of high-quality space. Occupier market Leasing activity in 2025 has reached its strongest level since before thepandemic, underpinned by a resurgent TMT sector. Limited development andtightening Grade A supply continue to demonstrate an imbalance betweendemand and availabil