There were no completions of newly developed Southbank office space in 2011.

660,000 sq ft is scheduled for completion in 2012 and a further 430,000 sq ft in 2013. Of this space 98% remains available to let.

In 2011 development schemes totalling 500,000 sq ft started on site.However, development starts slowed in the second half of the year when only 70,000 sq ft of this total was commenced.

This quarter the vacancy rate has increased to 9.2% up from 8.2% in Q3.

Average rents for Grade A space on the Southbank saw no change over the course of Q4 and remained at £32.50 per sq ft for the eighth consecutive quarter.

Transaction activity in Q3 amounted to £327 million. The first estimate of transaction activity indicates that Southbank office investment decreased to £27 million in Q4, although this figure is likely to be revised subsequently. Twelve months earlier in Q4 2010 transaction activity amounted to £163 million.

The yield on prime Southbank offices saw no change over the course of Q4 and remained at 6.0% for the seventh quarter in succession.