Strong start to the year, with Q1 2017 office take-up highest since 2007 in Europe (excl UK)
The European economic recovery continued and even broadened in Q1. While political uncertainty will continue with the upcoming elections in Europe, most notably in France and Germany, this appears to be having limited impact on the European office market. Indeed, strengthening employment and corporate sentiment pushed Q1 2017 office leasing activity up, in line with 10-year highs seen in 2016.
Prime Rent represents the top open-market rent that could be expected for a notional unit of the highest quality and specification in the best location in a market, as at the survey date.
The Prime Rent reflects an occupational lease that is standard for the local market. It is a face rent that does not reflect the financial impact of tenant incentives, and excludes service charges and local taxes. Stockholm is the only city where it is market practice to quote the rent as Prime Effective Rent, therefore the rent is including incentives (i.e. rent free periods as well as relocation costs, tenant fittings, etc.). The Prime Rent represents Jones Lang LaSalle’s market view and is based on an analysis/review of actual transactions for prime office space, excluding any unrepresentative deals. Where an insufficient number of deals have been made for prime office space, an assessment of rental value is provided by reference to transactions generally in that market adjusted accordingly to equate to prime.
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Senior Analyst - EMEA Research
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