Should I go for a leasehold, managed or serviced office?

Deep Dive on Leasehold, Managed and Serviced Spaces

Finding the best office fit

Choosing the right workspace is a highly strategic decision, and today’s market offers more choice (and complexity) than ever. Labels like leasehold, managed, and serviced can be confusing without a clear view of what they really mean for your business’ bottom line.

This guide breaks down the differences, helping you decide which model best supports your goals.

Beyond location, employee commute times, pricing, fit-out costs, furnishings, timeframes, and local market trends, leadership teams now face a wider range of leasing structures to evaluate.

A good starting point is to align your selection with your company’s specific needs, budget, and long-term strategy. Each option comes with its own advantages. By understanding these differences, you’ll be better equipped to make a confident, informed choice that supports your business objectives.

Each option has unique advantages, and understanding these differences will help reach an informed decision that aligns with business strategy.

What is a leasehold office?

Leasehold offices are typically characterised by a long-term commitment. These terms can benefit businesses aiming to establish a stable presence in a particular location. This office arrangement may require an upfront investment, including deposits and fit-out costs, but it can lead to lower overall costs in the long run. Additionally, leasehold offices give room for businesses to create a unique brand identity through personalised office design and layout. All to enhance employee satisfaction and productivity.

Leasehold space is the traditional form of office rental, which typically offers a lower monthly rate over a longer lease term — usually 3+ years. Businesses taking on these leases will get a private, fully self-contained office space and full control over the design, fitout, utilities, and preferred suppliers. It is increasingly common for occupiers to even purchase the space and put down roots where the long-term business plans are heavily tied to the area.

One to consider for
Established companies looking for stability and control over their workspace

Typical minimum terms:
3 years + years with some months rent free
•Move within 16+ weeks
•Private, self-contained office space
•Full autonomy and responsibility of fit-out, utilities and suppliers

What is a managed office?

Managed offices benefit from a dedicated workspace tailored to business needs while also providing access to shared facilities, maintenance and services. Managed occupiers enjoy the perks of a professional environment without the burden of managing all the operational aspects. This option is ideal for companies looking for a balance between flexibility and control, making it a popular choice for startups and growing businesses.

Managed offices are a hybrid between a leasehold and a serviced offices, falling under the flexible workspace bracket. Tenants have access to a private workspace to make their own, but the lease terms are much more flexible, usually between 12-36 months. The ‘plug-and-play‘ nature of managed options means they are ready for fast occupation and the assurance of an all-inclusive single monthly fee.

One to consider for
Growing businesses looking for balance of flexibility and personalisation

•Typical minimum terms from 1-5 years
•Move within weeks/months
•Available furnished or unfurnished
•Private self-contained office space, possibility to have autonomy over aspects of the fit-out
•Access to onsite facilities such as bike storages and showers
•All-inclusive monthly cost

What is a serviced office?

Serviced offices are designed to provide maximum convenience and minimal hassle, making them an attractive option for businesses prioritising agility and efficiency. These offices are often located in prime business districts, giving companies access to a prestigious address without the long-term commitment of traditional leases.

Often serviced office providers offer a range of shared communal amenities such as kitchens, meeting rooms, breakout spaces, showers, bike storage and gym facilities within the monthly payment. The days of staff perks like free beer and a ping pong table have moved on, with some serviced office locations in London rolling out lavender yoga rooms (Fora Kings X), personal training and focus areas. It’s all designed to help streamline operations and let businesses focus on the main operations.

Serviced offices leases tend to be very flexible, with day or weekly options available in some spaces, however, the minimum is typically a three-month term.These flexible contracts also provide businesses with the freedom to expand and reduce space as required.

One to consider for
Businesses wanting to minimise overhead and maximise convenience.

Typical minimum terms from 1 month
• Move within days/weeks
• Fully furnished
• Private offices within a shared floor (whole floors are available as well as co-working)
• Access to communal facilities such as meeting rooms, breakout spaces, cafes, showers, bike racks
• All-inclusive monthly cost

If you would like to discuss market availability of each type of office, our team would be happy to share a personalised search with you.

We use our own in-house databases and tech to search every corner of the market to provide a shortlist, custom built for your criteria. From on and off market options to upcoming schemes, we can adjust searches to each specific requirement.