While the employment market is changing, London remains one of the world’s key financial centres, which will continue to drive corporate relocation tenants from the financial industry to the city. However, as other industries see higher levels of growth, the picture will continue to become more varied.

Employees from different industries often have different requirements, either motivated by their job location or budget. In the financial sector, on average tenants, are given a relocation budget of 25% 
more than in the tech sector. This has 
an impact on where employees in different sectors rent.

Employees in the financial industry are concentrated in the established prime London locations of central London or other locations near to their jobs such as Wapping and Bermondsey.

On the other hand, the tech industry has traditionally been concentrated around 
Old Street roundabout and employees tended to live in either east/north London or to the south, down the Northern Line. Yet, as other locations such as Kings Cross have become more popular with the tech industry, employees now live in a wider variety of locations.

As the tech industry expands, this extension in popular locations will 
continue and the demand for rental properties suitable for corporate relocation tenants will increase. This presents an opportunity for landlords or institutional investors to target these emerging corporate markets.

Taken from
Spotlight: Corporate Lettings 2014