2023-06-26-莱坊-London_Legal_Sector_Update_Q1_2023_3页_2mb

报告摘要

London Legal Sector Update Summary - Q1 2023

Core Content

This document provides an overview of the current trends and real estate activities in the London legal sector for Q1 2023. It highlights key developments in talent acquisition, digital transformation, and real estate leasing, along with insights into the specifications of buildings occupied by law firms.

Main Trends

1. Talent and Digital Transformation

Talent as a Priority: Talent is a top concern for law firm leaders, alongside ongoing digital transformation.
London's Global Appeal: London is ranked as the number one global location for legal talent, based on work-life balance, job opportunities, and pay.
Legal Job Market: There are over 3,500 legal job opportunities in London with an average salary of £83,998.
Wage Inflation: A significant portion of law firms (45%) are preparing to increase salaries by more than 7.5% during the 2022/23 financial year.
Adoption of Next-Wave Tech: Law firms are experimenting with generative AI tools to improve service delivery speed, efficiency, and cost-effectiveness. These tools are not intended to replace lawyers but to change the nature of work.

2. Real Estate Trends

Lease Activity: There was a flurry of lease events from both international and domestic law firms, which will support legal sector take-up throughout 2023.
Relocation Trends: Law firms are moving to buildings that meet their current and future needs.
International Firms Drive Take-Up: In Q1 2023, international law firms accounted for 70% of the total square footage taken up.
Market Momentum: Although Q1 2023 saw subdued activity, with only 35,004 sq ft taken up (93% below Q4 2022), the market is expected to accelerate, with over 1 million sq ft of active legal sector demand.
ESG and Wellbeing Influence: Law firms are increasingly acquiring space in buildings with high ESG and wellbeing standards, including certifications like BREEAM, WiredScore, and WELL. These buildings also offer amenities such as fitness centers, bike storage, and improved air quality.
Location Preferences: Law firms favor the City core and areas with good transportation links.

Key Real Estate Data

Q1 2023 Total Take-Up: 35,004 sq ft
2022 Total Take-Up: 1.57 million sq ft
2021 Total Take-Up: 1.28 million sq ft
Total Named Legal Sector Demand in Q1 2023: 1 million sq ft

Building Specifications

Occupier	Grade	Address	Sq Ft	Rent (£ per sq Ft p.a.)	Building Features
Anthony Gold	Secondhand A	Cottons Centre, Cottons Lane, SE1	8,779	£59.50	River-facing, business lounge, leisure facilities, car parking, bike storage, showers, air conditioning, glass atrium entrance
Willkie Farr & Gallagher	Secondhand A	CityPoint, 1 Ropemaker Street, EC2	12,842	£72.50	Atrium, conferencing facility, courtyard, fitness centre, bike storage, shower and changing facilities, public realm, retail, EV charging points, restaurants and cafés onsite
Dickson Minto	Comprehensive Refurbishment	Dashwood, 69 Old Broad Street, EC2	2,012	£71.00	Coffee shop, public realm, shower facilities, openreach fibre backbone, bicycle and locker facilities, motorcycle spaces, business lounge, landscaped terrace, 100% diversion from landfill, 75% recycling target, optimal internal air quality, enhanced ventilation, full height glazing
Alston & Bird	Comprehensive Refurbishment	LDN:W, 3 Noble Street, EC2	9,806	£70.00	Shared roof terrace, private terraces on upper floors, business lounge, bicycle racks, male and female showers, drying rooms, lockers

Building Certifications and Ratings

BREEAM Excellent: Indicates high sustainability performance.
WiredScore Gold/Platinum: Reflects strong connectivity and digital infrastructure.
WELL Enabled: Suggests focus on occupant health and wellness.
Fitwel Certification: Highlights health-focused design and operations.
ActiveScore Platinum: Indicates high levels of physical activity and wellness support.

Contact Information

London Tenant Representation: Richard Proctor, Partner, Head of London
Email: richard.proctor@knightfrank.com
Phone: +44 20 7861 5159
Research Contact: Jennifer Townsend, Partner, Occupier Research
Email: jennifer.townsend@knightfrank.com
Phone: +44 20 3866 8028

Additional Resources

The London Report 2023: Available at knightfrank.com/research
Research Focus: The report emphasizes the importance of questions and property advice in shaping the legal sector's real estate strategy.

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