T
he "flight to quality" phenomenon observed in Manhattan's prime properties has a striking parallel in London, the market most comparable to New York's. According to Knight Frank, the UK's leading property management firm, vacancy rates have plummeted in London's most desirable submarkets and newest office towers.

    In areas like the West End and City of London, availability in top-tier buildings with premium amenities and sustainability features has dropped to just 0.3% and 0.5%, respectively. While no Manhattan district can match these low vacancy rates, its modern skyscrapers are nearly as full.

    Citadel, led by Ken Griffin, is driving a surge in financial services leasing on both sides of the Atlantic. The firm recently signed a massive lease for 250,000 square feet at British Land's 2 Finsbury Avenue, more than doubling its space in London. This trend mirrors New York, where Citadel is also expanding its presence with leases at 425 Park Ave and 660 Fifth Ave.

    Knight Frank notes that hedge funds, private equity firms, merchant banks, and asset managers have been steadily increasing their footprint in London despite economic headwinds.