Focus on green offices wanes

By Daniel Thomas, Property Correspondent
Published: September 3 2008 03:00

Environmental concerns such as energy efficiency have been pushed to the bottom of the agenda for UK companies as cost becomes increasingly crucial in the more difficult economic climate.
Rental cost is the key factor in the decision to take office space in central London, with energy efficiency and green issues cited as the least important consideration, according to research by Knight Frank, the property consultancy.
During the recent property boom, much was made of the drive by developers for more energy-efficient schemes, which had been hoped to command higher rents because of their green credentials.
However, green issues are more of a concern in a benign economic climate, becoming a luxury as circumstances change, the research suggests.
"While the green agenda and sustainability issues are fundamental to the future of office buildings . . . as economic markets suffer such requirements become less of a priority to central London office occupiers," said Bradley Baker, head of central London for Knight Frank.
The survey gave the retention of key staff as the next most important factor.
Copyright The Financial Times Limited 2008