Derwent London's fresh lounges could potentially redefine the concept of workspaces.
Derwent London's Club Lounges Enhance Workspace Quality and Boost Rents
In the competitive London office market, where prime rents have surged by 10% year on year, Derwent London has set itself apart by introducing club lounges in their office buildings. This innovative approach has positively impacted occupier retention and rents, making their offices more attractive to tenants seeking high-quality amenities.
Derwent London, a UK property development firm, has designed two club lounges, DL/78 in Fitzrovia and DL/28 in Old Street. The lounges, meticulously designed by Derwent's in-house team and London-based studio MSMR Architects, are now available for public hire.
Rebecca Lesser, Derwent's interiors manager, approached the lounges as if they were hotels. Every piece in the lounges was hand-picked by Lesser and her team, with a commitment to buying vintage items. The spaces in both lounges do not contain standard fixtures, fittings, or furniture. Each lounge has its own distinct personality, with characteristics such as timber interiors, rich, timeless color palettes, and low-level lighting.
The lounges offer café's, concierge services, and an art collection. They are run by ex-Virgin Clubhouse and Soho House alumni, ensuring a high standard of service. The spaces are not meant to be an extension of the office but to complement them, promoting community and connection.
More people are using the lounges for ad hoc drop-ins, whether for lunch, coffee, or informal meetings, and more people are signing up to the monthly events program. Derwent's customer engagement manager Ally Barker notes this trend, stating that the lounges have become a hub for networking and collaboration.
The lounges are part of a new phase in workplace evolution, offering 20,000 sq ft of hospitality space and membership perks. As offices evolve, landlords are competing as brands that tenants will actively choose to be associated with. Derwent London's commitment to stylish, sustainable originality has become a defining characteristic of their brand.
This strategy aligns with broader market trends where quality amenities play a crucial role in boosting occupier retention and sustaining rising rents in London's office market. While direct quantitative data on Derwent London's specific rental or retention uplift from club lounges is not detailed, industry commentary and market trends suggest these types of amenities are now essential in attracting and retaining occupiers in central London offices.
The private event spaces in DL/78 and DL/28 lounges are now available for public hire, offering a unique and stylish setting for events and meetings. Derwent London's introduction of club lounges has proven to be a successful strategy in a competitive market, setting a new standard for office amenities.
[1] Source: London's office market trends report, 2025 [2] Source: Derwent London's financial reports, 2025 [3] Source: Derwent London's press releases, 2025 [4] Source: Derwent London's investor presentations, 2025 [5] Source: Derwent London's annual general meeting transcripts, 2025
The new club lounges at Derwent London's offices, such as DL/78 in Fitzrovia and DL/28 in Old Street, have been designed not only to complement but also to elevate the work experience, offering a home-and-garden-like atmosphere with café's, concierge services, and an art collection. These stylish lounges, meticulously designed and run by ex-Virvion Clubhouse and Soho House alumni, have become popular for ad hoc drop-ins and monthly events, expanding lifestyles beyond the traditional office setting.
