More Agents than Ever, Need For Tenant Representation Emphasised
Recent figures have shown that the real estate sector now employs more than half a million people. This is the highest level since records began in 1978 and has led many to predict a second ‘housing bubble’ crisis. The figures represent an increase of nearly 10% in property employment levels, with many in the housing industry being fearful of the future as a result.
It’s said that there was an increase of 77,000 in the number of estate agents during the twelve months leading up to October 2013, with the highest demand for property for years. Areas at the forefront of this revival include Central and East London, including King’s Cross and Shoreditch’s Tech City.
Chancellor George Osborne said that the figures represented a ‘turning point in Britain’s economic recovery, though some experts are worried that the huge rise in agents will have a negative impact on the market, leading to weakened confidence in the stability of the markets and a potential second crash.
There are also worries that a higher amount of brokers will make life difficult for tenants looking for secure space, particularly in popular locations. King’s Cross Office Space is a tenant-representative consultancy that has followed the trends and patterns of the Central and East London markets for many years.
With traditional brokers working hard on behalf of landlords hoping to fill spaces, potential tenants may find themselves in a weaker position, with their needs being deemed as less important as those of the property owner. The larger number of estate agents in areas where demand is already high and restricted may mean that landlords are placed in an even better position, to the detriment of tenants. Tenant representatives like ourselves work hard to secure fairer deals and prevent our clients from having to pay over the odds and make unfair compromises.
The fight for office space in Central London seems to show no signs of slowing down. It’s essential that tenants are able to secure fair work space deals in such a popular and sought after area.