Madrid Office Space Demanded by Law Firms
25/11/2014 – ExpansionPro
Economical and real estate improvement soaks in the law office market. The latest report by Jones Lang LaSalle (JLL), titled Law Firm Perspective Global 2014 states that the city of Madrid had left the ‘slump stage’ and entered in the ‘growth phase’ – just where it was before the boom.
Thus, as the study explains, rapidly shrinking supply of office space in Madrid makes many lawyers look for another location before the prices rise.
Further on, JLL points out that the most-desired Castellana street (aerial picture) may at most see refurbishment and redecoration, unless any new office project comes up. When it comes to the law firms, the company says they still show a traditionalist approach to picking a representative location, selecting compartmentalized, highest-quality buildings.
Speaking of the global market, the report informs the rental prices are expected to rise in 77% of markets of the Northern America, in 56% of the European ones, and in 43% of markets in Asia. Only 15% of all forecast some advance in tenant conditions or fall in prices.
Madrid Primary Area
The capital-based lawyers offices focus their search on the aforementioned Castellana avenue and areas nearby: the Salamanca neighbourhood in the east, and the Almargo and Zurbano zones in the west.
The smallest firms choose mixed-use and residential buildings. In turn, 96% of the 25 largest are found in one of the areas specified above.
To give a few examples of recent relocations, Hogan Lovells has occupied a 4.608 square meter office at numbers 36-38 Paseo de la Castellana, and White & Case a 1.142 square meter one at number 7 on the same street. Next to change premises was Dentons (number 53), as well as Amat & Vidal-Quadras (21 Ortega y Gasset street) and Martínez-Echevarría (33 Principe de Vergara street). Second Spanish branch of Arochi & Lindner opened at 28 Serrano. Also, Herbert Smith will move its team to a 4.000-square meter old office of Cuatrecasas, Gonçalvez Pereira situated at 43 Velazquez street. Finally, CMS Albiñana & Suárez de Lezo and Bird & Bird are currently eyeing the market in search of new premises.
Original article: ExpansiónPro (by Mercedes Serraller)
Translation: AURA REE