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Derwent London sees higher offices demand since Tory victory

Joanna Bourke
Derwent- Soho press image

Property developer Derwent London on Tuesday toasted a rise in the number of businesses looking to open new offices since the general election.

Chief executive Paul Williams said strong demand suggested rents could rise by as much 4% this year - a far stronger forecast than Derwent has made for the past three years.

Total returns for 2019 came in at 6.6% thanks to a big upward revaluation of the group’s new developments. Rental income improved 10.5% to £178 million.

Williams said: “We had a number of lettings last year, and sentiment has improved even more. Firms were relieved to see a clear political outcome in December.”

He said Derwent felt confident to start building more, including newoffices in Baker Street in 2021.

Last year it let new offices including Soho Place above the Tottenham Court Road Crossrail station to investment firm Apollo.

The shares rose 82p, or nearly 2%, to 4306p.

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