Carnaby - H2so.com

CARNABYW1
It’s not just about the shops
A growing number of businesses are choosing one of
the world’s most iconic shopping locations to base
their offices. Duncan Lamb found out why…
Walk down Carnaby Street and around
the network of streets that lie between
Regent Street and Soho and you will find a
fantastic range of shops, restaurants and
bars. But what is less obvious at first sight
is that the area is also home to a thriving
– and growing – office community.
The iconic Carnaby Street and the
12 streets that surround it are all owned
by Shaftesbury PLC – and are home
to more than 230,000 sq ft of offices.
If you pass through the front doors
that punctuate the shop fronts, you will
find office suites on the upper floors
occupied by a myriad of businesses.
Having transformed the Carnaby retail,
food and leisure offer, Shaftesbury has
also carried out a quieter revolution with
its office holdings and now has plans to
create more space to meet the growing
demand in the area.
Rob Kirk from Shaftesbury who is
responsible for Carnaby Village offices
comments: “Our offices range from
150 sq ft – pretty much enough for one
person – through to floors of 4,000 sq ft.
“The average floorplate is 1,300 sq ft,
but we have a multitude of small offices.”
Given the retail presence in the area, it’s
not surprising that Shaftesbury’s retailers
are also strongly represented amongst
their office occupiers. Kirk reports:
“Our offices have always appealed to
our retailers. A lot of them have office
showrooms above their shops so trade
buyers can come to the shop, see the
product on sale, and then go upstairs,
see next year’s range and discuss buying.
“Retailers like the proximity because
it means that buyers don’t have to
trail off somewhere else to continue
the business conversation.”
The area has also been a preserve for film
post-production companies; the most
notable probably being Molinare. More
recently Carnaby has also attracted PR
companies, financial institutions, creative
agencies and the specialists that serve
the burgeoning digital and online world.
Occupiers are drawn by the buzz of the
location – and its favourable rental profile.
Carnaby rents are very competitive
compared to rents on similar space west
of Regent Street. Top rents for new space
at Carnaby have touched £65 per sq ft
compared to rents of over £100 per sq ft in
Mayfair, but the bulk of the space is currently
let at an average rent of around £47 per sq ft.
The broadening base of occupiers
includes financial giant, Blackstone,
which has taken space in Shaftesbury’s
new 36 Carnaby Street development.
Ed Betts of H2SO – who are the leasing
agents for Carnaby offices with Cushman
& Wakefield – comments: “For a long time
the offices in the area were almost like a
well-kept secret, but since Shaftesbury
took control and began repositioning the
office product, it has become one of the
most desirable areas in the West End.
“It was always popular with the broadcast
and creative sectors but we’re now also
seeing it attract all types of businesses,
including financial occupiers, who love
the eclectic mix”.
Shaftesbury is focused on engendering an
integrated community of all the businesses
in the village.
Kirk comments: “It’s a different estate to
anywhere else. We have the advantages
of the retail and the restaurant elements
as an area. We try to work it as a village.
We have our own 24/7 security. We have
our own estate cleaning; we do our own
Christmas decorations. We have our own
estate managers.”
Opposite: Decorations on Carnaby Street celebrating the Rolling Stones’ 50th anniversary
12 020 Issue 2 Q2 2013 H2SO.COM 13