Canary Wharf is considered the second central business district in the United Kingdom, next to Central London. Canary Wharf captures a wide array of economic activity, primarily financial services, as it houses European headquarters of numerous major banks and financial organisations such as HSBC, Citi Group, Deutsche Bank, JP Morgan Chase, KPMG, Credit Suisse, S&P Global, Moody’s and EY Fitch Ratings, amongst others. Aside from these, business activities in the fields of consulting, legal, advertising, architecture, engineering, media and other business services are being conducted in this area. All of these activities generate around 1.5 million jobs, which is equivalent to one-third of London’s employment.
This sheer density of economic activity, believe it or not, is housed in only 97 acres of land— which is equivalent to only two percent of London’s land space geographically. Of this minute landscape, only around16 Million square feet are utilized as office and retail spaces; also making Canary Wharf as one of most expensive office space in terms of rent per square feet, at an average of USD 250 per annum. This, compared to other CBDs such as Tokyo (USD 200), Hong Kong (USD 150), and New York (USD 100).
This lack of available office spaces, as well as exorbitant office rental prices in the foreground of a still growing economy, has given rise to the popularity of serviced offices in Canary Wharf. Canary Wharf, where its centrality as a business hub inevitably creates and further develops supplemental business services, is just the right location.
The use of serviced offices in Canary Wharf, as well as other parts of London, has nowadays been particularly common, especially for start-up companies, small and medium enterprises (SMEs), freelancers, entrepreneurs, and business people who have to be mobile. Serviced offices provide people with a venue to conduct their business, meanwhile offering a full range of services like fully-equipped meeting rooms, internet connections, fully-serviced pantry with refreshments, lounges and recreational areas. Some serviced offices in Canary Wharf even have cafes, restaurants and retail shops, which are especially helpful when people need to take a break from work. Serviced offices offer so much flexibility to companies—to add or reduce working spaces as needed, and at a short amount of time; to meet their ever-changing business and economic needs, and to test new geo markets without the risk of committing to long-term leases.
Serviced offices also allow for business owners to be situated at the heart of Canary Wharf’s financial district with such an enviable address, alongside some of the world’s biggest institutions—such prime office space for a fraction of the price. Rental costs for serviced offices in Canary Wharf average to USD 20 per square feet per annum (GBP 16 per square feet per annum).
Serviced offices in Canary Wharf have been growing in number since the 1980s wherein the concept of serviced offices or shared offices have been loosely created as barristers group together to share overhead expenses such as wages for their clerks or administrators, rent, and operating expenses. The office space landscape has grown by an additional 20 Million to 25 Million square feet, all from shared office spaces and serviced offices in Canary Wharf.