(Bloomberg) -- GAM Holding AG decided against leasing offices near London's Buckingham Palace because of Britain's vote to leave the European Union, according to a person familiar with the matter.
The Zurich-based asset manager was seeking to rent about 50,000 square feet (4,645 square meters) on the top floor of the Nova project, said the person, asking not to be identified because the information is private. The building opposite Victoria rail station is being developed by Land Securities Group Plc and Canada Pension Plan Investment Board. The companies declined to comment.
Demand for London office space will fall as businesses wait to see the impact of the Brexit decision before committing to new leases, Land Securities Chief Executive Officer Rob Noel said in May. Central London office prices could drop as much as 20 percent after Britain leaves the EU as companies consider moving to Europe or delay expansion plans in the U.K., according to Green Street Advisors LLC.
To contact the reporter on this story: Jack Sidders in London at jsidders@bloomberg.net. To contact the editors responsible for this story: Neil Callanan at ncallanan@bloomberg.net, Michael Shanahan
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