NEWS

MARKET UPDATE Q4 2025 – Commercial Property Market Update in West London

MARKET UPDATE Q1 2026

Market Update Q1 2026, offering a comprehensive overview of the West London office market and the key trends shaping occupier and investor activity. This update explores how office leasing continues to evolve, alongside a review of building sales and completions in Q1, and a roundup of notable deals across West London.

Market Commentary – Market Update Q1 2026

2026 started with some optimism – the market felt more predictable and occupier enquiries were on the up. January and February saw increased confidence, together with other positive markers like easing inflation.  Now, the escalation in the Middle East has created renewed uncertainty and lowered economic forecasts, the stock markets have been fairly impervious to the conflicts – we hope the property markets will be the same. Doubtless, rising interest rates and reducing consumer confidence are likely to have an impact for the year ahead. 

West London* Q1 stats for 2026 show office leasing take-up was similar to Q1 last year, a total of 137,000 sq ft, with vacancy levels remaining broadly the same across the region. Vacancy is still running at close to 20% across Hammersmith & Fulham, 15% in Chiswick, and 9% in Kensington & Chelsea. 

(*Kensington & Chelsea, Hammersmith & Fulham Paddington, Wandsworth & Chiswick)

SALES IN WEST LONDON

The Metro Building, Hammersmith – 105,000 sq ft SALE

The Arora Group in conjunction with Deva Capital, completed the successful acquisition of the Metro Building in February 2026. The Metro Building is a prominent, high-specification multi-let office located in the heart of Hammersmith, comprising approximately 105,237 sq. ft. across the ground and ten upper floors. Situated immediately adjacent to Hammersmith Broadway, the building backs onto the Novotel Hotel, also owned by the Arora Group, and provides an exceptional opportunity for the Arora Group to reposition and enhance the existing building whilst also exploring the potential for a range of alternative uses. 
31 Vernon Street, Hammersmith – Freehold Sale

Frost Meadowcoft sold 31 Vernon Street, totalling 17,457 sq ft. The property was previously occupied by both Jellycat and more recently Football Radar and has been purchased by a private investor for £4.1m. 

The property comprises a unique combination of a modern office building and a listed former Edwardian magistrates’ court. The original courthouse, dating from 1914 and designed by John Dixon Butler, retains many period features, including a courtroom and former holding cells. 

A contemporary three-storey office extension, completed in 2005 by Terry Pawson, provides modern accommodation, creating a blend of heritage and design-led workspace. 

134-136 King Street, Hammersmith W6 – Development Sale
The King Street freehold with retail and offices on the upper floors, has sold to Western Mane, a London-based residential developer. The 9,190 sq ft property will be redeveloped into a mixed-use scheme with residential upper parts. The site benefits from existing planning consent for up to 10 residential units across ground to third floor, with the 2010 permission having been formally implemented. The price agreed was £2.85m, reflecting £310 per sq ft on the GIA. Frost Meadowcroft acted for the vendor.
Fulham​
Patrizia sells Coda Studios the Fulham office campus to Westmede Properties

Patrizia has sold the Coda Studios multi-let office campus in Fulham to Westmede Properties for an undisclosed price in an off-market deal. Frost Meadowcroft acted for the purchaser. 

The 65,000 sq ft gated community provides 56 self-contained private office suites ranging from 300 sq ft to 3,000 sq ft in addition to ancillary retail space on Munster Road. 

Patrizia, which acquired the site in early 2019 from Columbia Threadneedle for close to £39m, had previously secured planning consent on part of the site and progressed a positive pre-application for residential conversion. Frost Meadowcroft acted for Patrizia on the leasing. 

 

LEASING DEALS IN WEST LONDON 
Hammersmith 
THE ARK: 3 FURTHER DEALS FOR Q1, TOTALLING 8,197 sq ft 
These transactions highlight continued demand for well-located, high-quality workspace in Hammersmith, with a particular emphasis for flexible and fully managed office solutions.
Paddington
At 6 Salem Road, DDRE, the global luxury real estate advisors have taken 7,000 sq ft in the Art Deco-style industrial building in Bayswater, London, W2. The agency will occupy the ground and lower ground floor for showcasing their properties within a high-tech presentation area. These characterful studio offices were let at a headline rent of £40 per sq ft on a new lease from landlord GMS Estates Frost Meadowcroft acted for the Landlord. 
Kensington & Chelsea
Lycka Limited, a strategic consultancy, has taken a fully managed office of 1,055 sq ft at 197 Kensington High Street, W8. The lease was at £180 per sq ft for a term of 3 years. The deal highlights occupiers’ continued demand for best‑in‑class, fully fitted offices in a prime west London location, particularly buildings offering strong onsite amenities, including shared communal space and terrace provision. Further floors are now available.

FOCUS:  Evolving Office Leasing – The Managed Solution

Pictured left: 197 Kensington High St, pictured right:  The Studio Building

Agents have been highlighting the growing demand for fitted office space for several years, as occupiers increasingly prioritise flexibility, speed of occupation and reduced operational burden. 

For many businesses transitioning from serviced offices to a traditional lease, the shift can be challenging. The conventional landlord–tenant model often brings added responsibilities, from managing day-to-day operations to overseeing compliance, IT and maintenance. 

This is where the managed solution has gained traction. 

Under this structure, the lease remains directly between landlord and tenant, while a third-party provider is appointed via a Management Services Agreement (MSA) to handle the day-to-day running of the workspace. This typically includes services such as cleaning, IT infrastructure, maintenance and compliance. 

The model offers clear advantages for both parties. For tenants, it provides a middle ground between the high costs of serviced offices and the complexity of a fully self-managed lease. For landlords, it broadens the appeal of their space, attracting occupiers who may not have previously considered conventional leasing, while also helping to reduce void periods. 

As occupier expectations continue to evolve, the managed solution is becoming an increasingly important part of the West London office landscape. 

SYSTEMS – 115,000 sq ft, REMODELLED & RENEWED OFFICES INHAMMERSMITH

Systems (the former Elms House, Brook Green) offering 115,000 sq ft of substantially refurbished space, is close to practical completion. Developed by General Projects & Neo Capital, and designed by award-winning architects Buckley Gray Yeoman. This represents a significant new supply for the market and will be the newest office development in Hammersmith since the relaunch of the Ark in 2023  

 

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