Press Release
Southbank’s Office Development Pipeline to Deliver Significant Growth
April 16, 2025
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The Southbank district of London has the largest development pipeline* of any Central London market, lining up the area for significant growth, according to new research from global real estate advisor, CBRE.
The data shows that total office stock in Southbank stood at 19.5m sq ft at the end of 2024, and has the potential to grow to 21.3m sq ft by 2029. There is 4.1m sq ft of development and refurbishment space under construction or with planning consent with the potential to complete before the end of 2029.
As a result, CBRE expects that by the end of the decade, Southbank will have more office stock than the wider Docklands market, including Canary Wharf.
An increase in high-quality office stock is likely to translate to higher rents. According to the research, Southbank is expected to see annual rental growth rates of 4.7% between 2025 and 2029, with prime rents expected to rise to £100.50psf by the end of 2029. This marks an increase of £20.50psf over the five-year time period. Only the City submarket is predicted to see higher rental growth at 5%.
The vibrancy of Southbank is further supported by the scale of housing stock within the market. The three Inner London boroughs with the largest stock of residential dwellings are Wandsworth (155,000), Lambeth (147,000) and Southwark (145,000), all of which are in Southbank. CBRE’s research shows that 4,200 new residential units are due to be delivered between 2025 and 2029. The only Central London market expected to deliver a larger number is Docklands at 7,600.
*Southbank has the largest development pipeline of any Central London market relative to the size of the market
With supply constrained in markets such as Mayfair & St. James’s and City Core, locations that can fulfill large scale requirements for grade-A office space are most likely to prosper. Alongside already established, well connected and highly amenitised office markets such as Docklands, Southbank’s healthy development pipeline makes it a compelling alternative for occupiers seeking high quality office space in a Central London location.
It’s an area buzzing with cultural amenities and entertainment venues, and when you combine this with the great transport links and green open spaces, the appeal for further office development and investment becomes clear. Sustainability is at the core of many of the major schemes, all of which support Southbank’s ambitions to become a net-zero neighbourhood by 2030.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2024 revenue). The company has more than 140,000 employees (including Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.co.uk.