When looking for an office space, cost is often a huge deciding factor. Office prices vary significantly between cities and even different locations within the same city, particularly in London, so it can be difficult to know how much you should be paying for a serviced office.
So, what is the average cost for a serviced office in London?
In London, the average cost of office space varies between locations, ranging from £400 to £1,000 per month.
The most affordable locations for serviced office space are Tower Hill, Elephant and Castle and Edgware Road where the average cost of office space is around £400.
At the other end of the scale, the most expensive areas include Green Park, Knightsbridge, Paddington, South Kensington and St James’s Park, where rents reach £1,000 per month on average.
As well as location, there are a number of other factors that affect the cost of office space, including size of office and workplace perks such as games tables, beer taps and roof terraces.
As well as deciding on where to locate your office search, you may also ask yourself ‘How big of an office do I need?’. Generally speaking, serviced office space provides 50 sq ft per desk, however, due to the spacious nature of serviced offices, the total space per tenant within modern business centres usually exceeds 130 sq ft.
How is commercial rent calculated?
For traditional workspaces, commercial rent is calculated per foot, so you will be charged X amount per square foot. However, with serviced office space, commercial rent is calculated on a per-desk basis. Often this will be listed as a cost/person/month.
What is the size of a standard office?
For conventional office spaces, 100sq. ft per employee is generally accepted as a good rule to adopt. This translates to roughly 50 sq.ft of deskspace and the other 50sq.ft in communal areas such as meeting rooms, sitting areas and kitchen.
However, it’s common for smaller cost-conscious businesses to opt for slightly more affordable ratio of 70 or 80 sq.ft per person, especially in sought after parts of London where rents are particularly high.
Serviced offices are usually open plan and come with include a large amount of social common space and kitchen areas which means the average space for employee amounts to over 130sq.ft.
Average price per desk for serviced offices across London
See below for a breakdown of average price per desk across London locations.
|St James's Park||£1,000|
|Tottenham Court Road||£850|
|High Street Kensington||£800|
|King's Cross St Pancras||£800|
|Hyde Park Corner||£700|
|Great Portland Street||£650|
|Notting Hill Gate||£500|
|Elephant & Castle||£400|