The final quarter of 2025 saw an uptick in central London office leasing, led by four deals of more than 100,000 sq ft – a three-year high for deals of that size, according to Savills.

FTI agreed a 102,000 sq ft pre-let at One Exchange Square in November

The advisory’s latest data showed 2.6m sq ft of leasing deals in the capital’s main markets in Q4, an increase of 36% on the previous quarter. Big leasing deals included FTI pre-letting 102,000 sq ft at the City’s One Exchange Square. Leasing momentum has continued into 2026, with The Crown Estate this month agreeing a 124,000 pre-let for the entirety of One Hanover Street with Ares Management.

In total, however, take-up for offices in central London reached 9.44m sq ft in 2025 – down 7% on 2024 and down 9% on the 10-year average.

Philip Pearce, executive director of Savills’ central London agency team, said: “The take-up figures for the year were in line with our projections, as occupiers become more selective with their space and are increasingly happy to extend their lease until the right building becomes available.

“With a constrained supply pipeline, there is more competition for the best buildings, as evidenced by the rising rental figures across the City and West End.”

The average rent in the City of London grew by 7% to £105.26/sq ft, marking the first time the average has hit three figures. In the West End, this figure stood at £166.61/sq ft, up 6.1% on 2024.

Despite the lower overall take-up for 2025, Savills said there was a total of 12.4m sq ft of requirements at the end of Q4, which is 35% above the 10-year average.

Supply levels in central London were 19.5m sq ft, giving a vacancy rate of 7.5%.