Chicago ($52/sqft, 24.5% vacancy) and London ($121/sqft, 8.6% vacancy) compete on different axes: Chicago on rent and tax and London on talent depth.
Chicago ($52/sqft, 24.5% vacancy) and London ($121/sqft, 8.6% vacancy) compete on different axes: Chicago on rent and tax and London on talent depth.
| Metric | Chicago | London |
|---|---|---|
| Region | Americas | EMEA |
| Country | United States | United Kingdom |
| Class A rent (USD/sqft/yr) | $52 | $121 |
| Class A rent (local) | 52 USD | 95 GBP |
| Vacancy | 24.5% | 8.6% |
| Trend | flat | rising |
| Prime yield | 7% | 4.5% |
| Premium flex / seat / month (USD) | $920 | $1,380 |
| Submarkets covered | 6 | 7 |
| Corporate tax | 28.5% | 25% |
| Metric | Chicago | London |
|---|---|---|
| Typical term | 10 yrs | 10 yrs |
| Typical rent-free | 22 mos | 24 mos |
| Lease norms | Modified-gross with op-ex escalations over a base year. Rent-free 18-30 months and TI $120-$200/sqft on a 10-year term are current market. | London leases are predominantly Full Repairing and Insuring (FRI). Tenant pays service charge and is responsible for dilapidations on lease end. Rent reviews to open-market rent every 5 years are standard. Rent-free periods of 18-30 months on a 10-year term are typical, with 'capped' rent-free for break-clause certainty. Personal guarantees are uncommon for institutional tenants; rent deposits are common for younger covenants. |
| Tax note | Combined federal + Illinois corporate tax effectively 28.5%. Cook County personal property lease transaction tax applies. | 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. |
| Metric | Chicago | London |
|---|---|---|
| Talent index (0–100) | 88 | 96 |
| Talent note | Deep professional-services, fintech, and trading talent pool. Average all-in compensation indexes 88 vs. New York. | Largest financial-services and technology talent pool in EMEA. Average all-in compensation indexes 96 vs. New York's 100. |
Chicago: CTA L lines and Metra commuter rail. Union Station and Ogilvie anchor commuter rail; Loop Elevated lines circle the historic CBD.
London: The Elizabeth Line transformed cross-London commute times. Heathrow to Liverpool Street is 35 minutes; Paddington to Canary Wharf is 17 minutes. Crossrail-adjacent assets command a measurable rent premium.
Chicago is the cheaper Class A market on a USD basis.
London has the deeper talent index (96/100 vs 88/100).
London has the lower headline corporate tax (25% vs 28.5%). Local incentives can change the effective rate materially.
Chicago typical term is 10 years with 22 months free; London runs 10 years with 24 months free.
Chicago: CTA L lines and Metra commuter rail. Union Station and Ogilvie anchor commuter rail; Loop Elevated lines circle the historic CBD. London: The Elizabeth Line transformed cross-London commute times. Heathrow to Liverpool Street is 35 minutes; Paddington to Canary Wharf is 17 minutes. Crossrail-adjacent assets command a measurable rent premium.
Score Chicago, London and up to two more markets side-by-side on Class A rent, vacancy, talent, corporate tax, and premium flex pricing — all in USD.
Reviewed by Miriam Hollander — Lead market analyst. Last updated 2026-04-15. See our methodology and editorial standards.