All insight

05Forward insight / Central London offices

Leased, managed or freehold?

The right form of occupation depends on the business plan, timing, capital and desired level of control. No single route is automatically best.

01

A conventional lease

A lease usually offers the greatest control over identity, fit-out and day-to-day operation. It can suit established teams with a clear medium- or long-term plan.

That control comes with responsibility. Fit-out cost, timing, repairing obligations, security and exit flexibility all need to be understood before the headline rent becomes meaningful.

  • Control
  • Capital
  • Commitment
  • Exit flexibility

02

Managed or serviced space

Managed space can provide speed, simplicity and a lower initial capital commitment. It can be particularly useful where headcount or timing remains uncertain.

The trade-off is often a higher bundled occupational cost and less control. The operator agreement, service provision, renewal position and ability to expand should be examined as carefully as a lease.

03

A freehold acquisition

Ownership can provide control and long-term value, but it changes the property decision into an investment decision as well.

Liquidity, future adaptability, building condition and the opportunity cost of capital must be considered alongside operational suitability. A building can be an attractive investment without being the right office—and vice versa.