Total office occupancy costs rose around Heathrow, one of only three UK locations where that has happened in 2012.
Costs across the UK remained stable in the second half of 2012, according to the research by BNP Paribas Real Estate. Their report focuses on a high level view of rents, rates and service charges for Grade A offices across the country over the last six months of last year.
Heathrow, where costs rose by 9.6% to £42.75 per sq ft, Birmingham City Centre (5.6%), and London’s Midtown (2.3%) were the only locations where costs rose.
While the rise in costs could be thought to reflect a lack of supply, BNP Paribas Real Estate’s Central London MD, Dan Bayley said: “It is unsurprising that occupancy rates have remained fairly stable across the country, as occupiers are still looking to secure good deals within Grade A offices. The recorded increases are mainly due to a rise in headline rents caused by recent deals, rather than other occupancy related costs.”