^{Source: Savills Research}

^{Source: Savills Research – data accurate to end of July 2017}

■ A notable transaction to complete in August saw Deutsche Bank pre-let the entirety of the future scheme 21 Moorfields, EC2, which is circa 570,000 sq ft. The pre-let is subject to an impending planning consent, and the estimated completion date is Q2 2020. It is encouraging for the London office market to see such a large occupier committing their long-term future to the capital.

■ Also in August, Oath (previously known as Yahoo) acquired 77,436 sq ft at Mid City Place, WC1 across levels four and five. They have taken the sublet space from AECOM on confidential terms, however the floors were being marketed at £48.50/sq ft.

■ In the year to the end of August, the Tech & Media sector accounted for the greatest proportion of take-up at 21%. This is followed by the Banking sector, largely due to Deutsche Bank, now accounting for 15%. The Professional services sector are next at 14%, and the Insurance & Financial services sector at 10%. There has been continued strong activity from Serviced Office Providers who have accounted for 7% of take-up to-date.

■ Total City supply stood at 7.3m sq ft at the end of August, equating to a vacancy rate of 5.8%, up on this point last year by 60 bps, however still down on the 10-year average by 80bps.

■ At the end of August, there was circa 1.7m sq ft of current and future supply under-offer, which is up on the long-term average by 29%.

^{Source: Savills Research – data accurate to end of July 2017}

■ The average Grade A rent for 2017 at the end of August was £61.56/sq ft, which is only 3% down on last year. With little over a quarter left to go, our end of year forecasts of 5% down appear conservative.

■ We have seen incentives rise on a straight 10-year lease from 19 months last year to 22 months so far this year.

Analysis close up

^{Demand figures include central London requirements}

^{Completions due in the next six months are included in the supply figures}

^{*Average prime rents for preceding three months}

^{** Average rent free on leases of 10 years with no breaks for preceding three months}

^{N.B We have amended our historic stock figure, resulting in a slight change of our historic vacancy rates (Aug 2015)}

^{Source: Savills Research}