Office property prime yield London, UK 2021, by submarket
The prime yield of office real estate in Central London, was the lowest in in the Mayfair/St. James submarket at 3.25 percent as of the fourth quarter of 2021. At the other end of the scale was Stratford where the prime office yield was five percent. Yields are calculated as the ratio of the annual rental value and the cost of a property and measure the income expected from an investment. While lower yields indicate lower return on investment, they are usually a sign of highly competitive markets with strong investment appetite. In recent years, prime office yields in London have maintained levels below four percent.
