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Deutsche Bank is considering its presence at Canary Wharf in a move that could lead German lenders to quit the East London Financial District altogether or drain a third of their space.
Those familiar with the discussion have stated whether the bank will leave the property at 10 Upper Bank Street in Canary Wharf in 2028 when the current lease expires, or cut back on space in the building that has maintained its post base for nearly a decade ago.
Germany, which has its main UK headquarters at Moorgate Square Mile, has identified a surplus of 125,000 square feet of space exceeding current London office requirements, people added. The bank occupies 375,000 square feet in Canary Wharf.
This shift will make Deutsche the latest financial services tenant retreating from Dockland, following HSBC and law firm Clifford Chance. Both Barclays and Morgan Stanley have consolidated their space by breaking out of the small buildings in the district, promising to stay in the area.
Deutsche opened a former post base in Canary Wharf in 2016 as a supplement to the former London facility. It is sucking up an 11-storey building into the Clifford Chance building on 10 Upper Bank Street, where the lease expires in 2028.
The bank has hired real estate agents to advise on potential moves and has approached several landlords on a list of candidates in recent weeks, seeking conditions for the new facility, according to people familiar with the issue.
Options under consideration include staying in the current building and losing presence, moving to another facility in Canary Wharf, or moving to another location in London.
It moved staff to its new London headquarters at 21 Moorefield in 2023, where it occupying more than 550,000 square feet of space, and says it is currently preparing to move all Deutsche Numis staff from its UK broker office on Gresham Street early next year.
Staying on 10 Upper Bank Streets can pose challenges as the nearly 25-year tower is expected to require significant upgrades. This means that if Germany is beyond 2028, it could face construction disruptions.
The property is majority owned by the insurance company China Life Insurance Company and is a minority shareholder held by the Qatar Investment Authority and Canary Wharf Group, which serves as managers.
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The East London Financial Centre faces several well-known tenant exits, but transportation at Canary Wharf offices is not all ways.
JPMorgan and Citi both own the tower, and Citi is committed to £1 billion for renovations. JPMorgan is looking to expand its space by taking unused floors in its former Credit Swissville.
HSBC is also considering taking up additional office space due to concerns that the new headquarters near St. Paul is too small, but Fintech Revolut and Zopa Bank are preparing to move to Canary Wharf’s new headquarters.
Deutsche Bank and Canary Wharf Group declined to comment.
