Holders of commercial property insurance in central London may see rents go up due to an increased demand for buildings in the area.
According to a report from CB Richard Ellis, the number of organisations seeking property in the City has risen significantly since the beginning of this year.
Over the course of the first three months, more than two million square feet of office leasing deals were signed, the firm noted.
This was identified as the second-highest total since records began being collected in 1984.
According to the Times, this surge in demand will enable owners to charge more to tenants, meaning commercial property holders may see increases in their costs.
Recently, Kelvin Davidson of Capital Economics stated that businesses may find it easier to secure loans for commercial property this year, however he warned that any improvements are likely to be minor due to the continuing economic problems.
