Things are looking up in prime London with landlords enjoying both higher rents and lower void periods.

That’s the news from investment consultancy London Central Portfolio.

It reports that a continuing shortage of stock and ongoing high demand for property has slashed the average void period in the third quarter of this year to just 9.7 days compared to the long term average of 31.8 days.

Big changes can also be seen on agreed rents for re-lets. 

LCP says rents for these properties soared nearly 18 per cent in the third quarter as overseas tenants – students and professionals – finally returned to London following the pandemic.

LCP chief executive officer Andrew Weir says: “Unquestionably this is another strong quarter for rental activity across Prime Central London. As the economic outlook looks uncertain, the number of tenants returning to London and opting to carry on renting has increased.

“Despite the number of external factors affecting the sales market, the rental market is proving to be more buoyant… the trend for longer tenancies continues, with tenancies now running to 23.1 months and void periods an almost non-existent nine days.

“These longer tenancies are contributing to the shortage of available stock, which in turn adds to price inflation. PCL’s international tenant base may well be amplified by the start of the new academic year and many overseas students returning to London for the first time since lockdown.”