Space is likely to become an issue as banks move operations from London to Frankfurt post-Brexit. Savills’ Frankfurt property investment head told Bloomberg the shortage of office space in the small German city will force some banks to look at Frankfurt’s satellite towns. This isn’t likely to be a problem for Goldman Sachs: it already has space in reserve.
Goldman bankers in Germany say the firm has several empty floors in Frankfurt’s MesseTurm skyscraper which houses its German operations. “They rented these floors shortly after the financial crisis,” says one Goldman banker in the city. “They’ve been empty ever since.”
Goldman isn’t averse to having empty office space. The sixth floor of the firm’s Manhattan office is used only by a handful of managing directors and employees using the toilets, and there are suggestions that the new Farringdon office could be partially empty if jobs are moved from London.
Some of those migratory London jobs might go to the empty desks in Frankfurt. According to the most recent results for its German business, Goldman Sachs employs around 200 people in Germany. There have been suggestions that thousands of new people could be moved to Frankfurt if the bank implements its ‘hard Brexit contingency plan.’ The Goldman banker we spoke to suggests there’s space for several hundred in the MesseTurm that’s ready and waiting.