What is the average Class A rent in London?

Around 95 GBP/sqft/yr ($121 USD) across the broader Class A index. Trophy submarkets like City of London command 20–40% above that.

How many months of rent-free are normal in London?

24 months on a 10-year deal is the standard benchmark. Lease-up product or tenants with strong covenant strength can push higher.

Are rents rising or falling in London?

The London Class A market is currently rising. Vacancy is 8.6%, which sets the negotiating context.

Headline Class A rent in London is around 95 GBP/sqft/yr ($121 USD), with 24 months of typical rent-free on a 10-year term.

Headline Class A rent: 95 GBP/sqft/yr ($121 USD).
Trophy submarket rents (City of London) push to roughly £95/sqft/yr · ≈ $121 PSF/yr USD.
Typical concessions on a 10-year deal: 24 months free rent.
Vacancy stands at 8.6% — market trend is rising.
Use effective rent (face minus PV of concessions), not headline, to compare deals.

London Class A office rents and incentives

Headline Class A rent in London is around 95 GBP/sqft/yr ($121 USD), with 24 months of typical rent-free on a 10-year term.

TL;DR

Headline Class A rent: 95 GBP/sqft/yr ($121 USD).
Trophy submarket rents (City of London) push to roughly £95/sqft/yr · ≈ $121 PSF/yr USD.
Typical concessions on a 10-year deal: 24 months free rent.
Vacancy stands at 8.6% — market trend is rising.
Use effective rent (face minus PV of concessions), not headline, to compare deals.

Headline rent vs. effective rent

Asking rents in London are quoted in GBP per sqft per year. Across the broad Class A index the figure is 95, but the trophy tier in City of London reaches roughly £95/sqft/yr · ≈ $121 PSF/yr USD. Always discount headline rent by the present value of free rent and fit-out-capex">tenant improvement allowance to land on effective rent — the only number that compares cleanly across deals.

Rent-free and TI

Standard London concessions on a 10-year Class A lease run to 24 months of base-rent abatement. Trophy lease-ups can push rent-free 25–40% above that benchmark. Local cost-of-occupancy is also shaped by tax — UK corporation tax is 25% (19% small profits rate). Business rates are a major occupancy cost — ~50% of rateable value annually, levied separately from rent and service charge.

Where rents land by submarket

City of London sits at the top end (~£95/sqft/yr · ≈ $121 PSF/yr USD). King's Cross clears around £92/sqft/yr · ≈ $117 PSF/yr USD as the prime tier. Victoria & Westminster represents the value end at ~£88/sqft/yr · ≈ $112 PSF/yr USD. The full submarket map is on the London city page.

Key facts

city	London
country	United Kingdom
region	EMEA
classARentLocal	95 GBP/sqft/yr
classARentUsd	$121/sqft/yr
vacancy	8.6%
typicalLeaseYears	10
typicalRentFreeMonths	24
submarkets	7
primeYieldPct	4.5%
trophyRent	£95/sqft/yr · ≈ $121 PSF/yr USD
primeRent	£92/sqft/yr · ≈ $117 PSF/yr USD

Frequently asked questions

What is the average Class A rent in London?: Around 95 GBP/sqft/yr ($121 USD) across the broader Class A index. Trophy submarkets like City of London command 20–40% above that.
How many months of rent-free are normal in London?: 24 months on a 10-year deal is the standard benchmark. Lease-up product or tenants with strong covenant strength can push higher.
Are rents rising or falling in London?: The London Class A market is currently rising. Vacancy is 8.6%, which sets the negotiating context.

Editorial provenance

Reviewed by Samuel Okafor — EMEA contributing editor. Last updated 2026-04-15. See our methodology and editorial standards.

Primary sources for this page

CBRE Marketview reports — CBRE
JLL Office Insight — JLL
Cushman & Wakefield Marketbeat — Cushman & Wakefield
Savills World Research — Savills
Colliers Global Office Outlook — Colliers

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