Rising demand for Canary Wharf property commercial mortgages

30 April 2007

Demand for commercial property in London''s Canary Wharf is on the increase as firms continue to look toward the prominent business district for prime office space in the capital.

Property firm Savills highlights strong accessibility, infrastructure and good amenities as key factors in increased demand in Canary Wharf, in addition to potential for future developments that would help meet this demand and provide high-quality new build office space.

It is thought that increased demand for offices in the area could lead to a surge in commercial mortgages linked to Canary Wharf properties in the future, with many businesses prepared to invest in the long-term. Mat Oakley, head of research for Savills, explained the reasons for heavy demand.

"You don''t have to go far away from Canary Wharf to see rents and tenant demand drop considerably," he told Hot Property.

"All in all there''s probably potential to [build] another five to ten million square feet of offices."

It was recently reported in the Times that HSBC was expected to announce a foreign buyer for its £1 billion headquarters in Canary Wharf.