Prime office rents have risen to record highs across Scotland’s key markets, primarily driven by the ongoing imbalance between supply and demand, according to Knight Frank’s The Scotland Report 2025.
“As of the time of writing, prime rents stood at £46.00 per sq ft in Edinburgh, £41.50 in Glasgow, and £32.50 in Aberdeen,” said the report.
“While rents in Aberdeen have remained relatively stable, Glasgow and Edinburgh have experienced notable upward pressure.
“In Glasgow, prime rents have increased by 5% over the past 12 months and by 28% since the onset of the pandemic.
“Edinburgh has seen even more significant growth, with a 2% rise in 2024 alone and a 30% increase since March 2020, marking one of the highest rates of prime rental growth among all major UK office markets.”
The report said that despite a general rise in overall vacancy rates, Grade A and Prime office space availability has remained relatively stable, with 677,000 sq ft available in Edinburgh and 538,000 sq ft in Glasgow.
However, the market for high-quality space remains tight, particularly in Edinburgh’s city centre, where just 10 Grade A buildings offer more than 10,000 sq ft on a single floor, a key consideration for larger occupiers.
The report added: “In 2024, annual take-up increased significantly. Underpinned by HBOS taking 282,000 sq ft at Port Hamilton, Edinburgh recorded year-on-year growth of 62%, while sustained occupier activity in Glasgow led to a 37% rise.
“Deal volumes have also been elevated, with 139 transactions completed in Glasgow and 130 in Edinburgh, 30% and 13% higher than the five-year annual averages, respectively.
“Demand continues to concentrate on high-quality office space, with new or Grade A accommodation accounting for nearly two-thirds of total take-up. It is clear that tenants are prioritising buildings that offer amenities and flexibility, spaces capable of adapting to changing workforce sizes and uncertain economic conditions.
“This, in some cases, has also meant smaller occupier footprints. In 2024, deals below 10,000 sq ft represented 91% of the market.”