Te Finance & Business Guide - brought to you by APL Media • Wednesday 22 October 2025


From fringe to financial district: how fitted offices took over London


HR & Recruitment • 21 ADVERTISEMENT FEATURE


London’s latest office revolution began in the margins. Today, it’s reshaping even the most traditional corners of the City


It began as an emergency measure for Shoreditch landlords, but today the fitted workspace — offices delivered fully fitted, furnished and ready to plug in — has become one of the most powerful forces reshaping London’s office market. What was once a niche experiment is now a mainstream expectation across small and medium-sized offices, from Mayfair to the City. This model, dubbed “Cat A+”


space, upends the traditional blank- canvas lease. Instead of occupiers footing the bill for plumbing, wiring and kitchens, they get something closer to a move-in-ready home. The appeal is obvious in a market still adjusting to hybrid working and economic uncertainty. The scale of the shift is striking.


Research from RX London, covering more than 600 transactions since 2022, shows banks and finance firms — historically associated with mahogany and oil paintings — now account for almost a third of all fitted deals. Once the preserve of tech start-ups, fitted offices have been embraced by some of the City’s most traditional tenants. The numbers explain the


enthusiasm for landlords, too. Those who provide fitted space command rents averaging 31% higher than conventional offices, while cutting costly void periods by more than half. In Holborn and Covent Garden, vacancy reductions exceed 65%. For an industry where empty space burns cash at alarming speed, that’s a compelling incentive.


Even the City of London, long the


home of bespoke corporate HQs, has seen fitted offices grow to just under a fifth of all transactions — double the share since 2022. Average deal sizes have risen to 4,450sq ft (space for roughly 30-50 people), signalling that larger, established companies are abandoning the old model. Economic pressures are driving


the trend. Supply chain delays and construction costs make extensive fit-outs unappealing. Many firms now prefer operational expenditure over large capital commitments. Managed offices — where a single bill covers everything from rent to cleaning — take the idea further, offering convenience at a premium. Sustainability


adds weight. The churn of fitting out and ripping out space has long been wasteful. Fitted offices, designed to be adapted and reused, offer a greener alternative. For companies under pressure to show environmental progress, this blend of virtue and value is hard to resist. The geographic spread shows how


Economic pressures are driving the trend. Supply chain delays and construction costs make extensive fit-outs unappealing


fitted alongside traditional leases and Shoreditch — where the movement began — has seen voids plunge by three-quarters. For landlords, the rewards are


Average size of fitted space has increased to 4,450 sq ft (30-50 people)


significant, with returns exceeding 20% and even higher on second-generation lettings. Yet they come with a challenge: managing a fitted office is like running a service business. The property industry must think like


hoteliers or engage with one of the many new entrants popping up


to fill that skill gap. The implications extend beyond


far the concept has matured. Canary Wharf has launched its “MadeFor” range, the West End now markets


Instead of occupiers footing the bill for plumbing, wiring and kitchens, they get something closer to a move-in- ready home


property. In a tight labour market, workspace itself becomes part of the pitch to attract talent. Convenience, culture and credibility are now bundled into the office offering. What began on the margins has become one of the most meaningful changes in commercial real estate in decades. And as the City’s most traditional


tenants embrace the shift, the message is clear: in modern London, an office is no longer just a lease — it’s a product, and those who fail to treat it as such risk being left behind.


For further information


T: 020 7096 7050 Visit: rx.london


IMAGES: BUILDING: ARCLIGHT, 60 SHORT’S GARDENS, LONDON, WC2 DEVELOPERS: SPAN GROUP AND PEARL & COUTTS PHOTOGRAPHER: JOSH SINNER


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