Office Space Guide

Managed Office Space

By Jules Robertson, Tally Workspace · Published 9th May 2026

What is a managed office space?

A managed office is a private workspace built and run for one company by a third-party operator. More flexible than a traditional lease and more customisable than a serviced floor - you get a dedicated space, a single monthly fee, and an operator who handles fit-out, furniture, IT, utilities and day-to-day management.

Behind that single monthly fee there are usually two agreements: a lease with the landlord and a management service agreement with the operator. The gap between them is where most deals get won or lost.

This guide covers what it costs, what is available now, who it is right for, and how the contracts actually work. We have negotiated managed deals for numerous incredible scale-ups in the last 12 months.

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Managed offices available through Tally Workspace right now. Hand-picked and refreshed every quarter.

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How much does managed office space cost?

A managed office in London usually lands between £419–£1,256 per desk per month depending on location, building quality and fit-out spec. Same desk count, same submarket, three providers - three very different prices.

Pricing by London submarket

Submarket Avg per desk / month Avg per sq ft / year
City £808 £158
Midtown £831 £165
West End £1,145 £214
Shoreditch £644 £115
Southwark £791 £134

Based on available managed office listings on Tally Workspace. Updated regularly.

What drives the variation

Five levers move the number: location, building quality, contract length, fit-out spec, and the management service itself. The management fee and what it actually covers is where the spread between providers gets widest.

What is in the headline number

Most managed deals are all-in: rent, management fee, fit-out, furniture, broadband, cleaning, utilities, and your own internal meeting rooms. The catch is that what "all-in" means changes from provider to provider. Read the services list line by line.

When managed offices are overpriced

The management fee is where margin hides. Before you agree on one, establish two things in writing: who holds responsibility for day-to-day issues, and what the service levels are. Compare the total monthly cost including everything, not the headline rate.

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When a managed office is the right choice

Best for

  • Scale-ups of 30 to 150 people who want their own branded space without a five-year commitment. At this size, you usually want your own meeting rooms, your own front door and your own culture.

  • Teams without an in-house office manager. If nobody is going to take deliveries, chase cleaners and sort out broken air conditioning, you need an operator who actually does that work.

  • Companies that want a single bill and a single point of contact instead of a landlord, a fit-out contractor, a cleaner, a broadband provider and a building manager.

  • Anyone who needs to move fast. The fit-out is built into the deal, so the heavy lifting is on the operator, not you.

Not right for

  • Teams under 20 people. At this size you rarely need your own internal meeting rooms or kitchen, so sharing those facilities on a serviced floor works out cheaper.

  • Companies with uncertain headcount. If you might need to change the size of your space inside the term, go serviced with a provider that has a big portfolio and easy expansion.

  • Anyone planning to stay for more than three years. At that horizon, a fit-out on a longer lease usually wins on total cost.

Pros

Your own space, your own brand. Fit-out done for you. One monthly bill. Shorter commitment than a lease.

Cons

Higher headline cost than a serviced floor for small teams. Locked in for the term unless you negotiated a break. Service quality varies wildly between providers.

A real example

A 25-person team had outgrown their central London serviced office and wanted somewhere of their own near the Elizabeth line. We shortlisted three buildings - looking at both managed and serviced. They liked one of the buildings but the all-in cost was too much, so we got one of the managed options re-quoted as a lease with management added through a different provider.

We pushed the management fee down and got the landlord to supply nearly all the furniture. They got their Soho space, fully managed, inside budget. The lever was being willing to take the same building three different ways.

Managed office space vs serviced offices vs traditional leases

A managed office sits between a serviced floor (most flex, least commitment) and a traditional lease (most control, longest commitment). Here is how the three compare.

Feature Managed Serviced Leased
Contract type Lease + management agreement Licence with provider Lease with landlord
Typical term length 18 to 36 months 1 to 24 months 3 to 10 years
Fit-out and furniture Built and supplied for you Already in place You design and pay for it
IT and broadband Set up by the operator Included You arrange and pay for it
Cleaning and utilities Included in one bill Included in one bill Separate contracts
Reception and meeting rooms In-suite, plus shared if available Shared with other tenants Yours to set up
Customisation and branding Your space, your brand Limited, shared environment Full control
Upfront cost Low. Built into the deal. Lowest. Move in same week. Highest. Fit-out and deposits.
Ongoing cost predictability Single monthly fee Single monthly fee Multiple bills, annual reviews
Best for 30 to 150 people, 2 to 3 year horizon Small teams or fast growth 50+ people, 3+ year horizon

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Get expert help with your managed office search

Most office advisers have their own management arm and a quiet incentive to push you towards their own product. We do not. We work across managed, serviced and leased, and we will tell you which one is wrong for you as quickly as we will tell you which one is right.

Three things we do that a traditional broker will not:

Read both agreements side by side

The lease and the management service agreement are separate documents with separate terms. We check the details line up.

Tell you the real timeline

Managed deals are slower than serviced because there are four parties at the table. We tell you what to expect, not what you want to hear.

Translate the jargon

Property language is built to make a simple decision sound complicated. We cut through it.

No retainer. No lock-in. No agenda.

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How a managed office works: the contracts behind the deal

Watch out: term mismatch

We worked with a King's Cross client recently where the lease ran two years and the management service agreement ran three. They were one signature away from paying for management on a space they would have already left. We caught it before it went out. Always read both documents side by side and confirm the terms line up.

Typical contract length

Expect a 2–3 year lease. Long enough for the operator to recover the fit-out cost, short enough that you are not stuck for ten years (though longer terms are possible if you want them).

Break clauses, notice and renewal

Most agreements have a break clause but the notice period, trigger date and break cost are all negotiable. So is the renewal mechanic and the price reset. Apply that to both documents.

Fit-out lead time

Plan for a 12-week lead time if the space needs to be fitted or you need new furniture delivered. Not every operator is honest about this up front. Build the slippage into your move date and check the operator has skin in the game if it slips.

Four parties, four agendas

You are usually negotiating with three parties: the landlord, the management provider, and your own team. The landlord wants the floor occupied. The management provider wants the management fee and the service margin. The levers on each are different, and you need to know who wants what. This is also why managed deals take longer than serviced. Build the time in.

What if you outgrow the space?

Most agreements have an expansion clause but it depends on what is available in the building on the day you ask. If your team might double in 18 months, this matters more than the price. Get the answer in writing.

What is included in a managed office?

Most managed offices are all-in. The headline fee covers everything in the table below. The catch is that what "all-in" actually means changes from operator to operator - always ask for the detailed services list before you sign.

Service What you get Usually included?
Fit-out and design Walls, floors, desk layout, meeting rooms built to your spec. Many spaces also come ready-fitted. Yes, built into the deal.
Furniture Desks, chairs, meeting room tables, breakout sofas, kitchen kit. Yes
IT and broadband Fibre line in, Wi-Fi across the floor, basic network setup. Yes. Phones and your own kit usually extra.
Utilities Power, water, heating, cooling. Yes
Cleaning Daily office cleaning, kitchen, washrooms. Yes
Internal meeting rooms Rooms inside your suite, for your team only. Yes. Yours, not shared.
Reception Staffed front-of-house if the building has one. Often shared with other tenants in the building.
Security Access control, alarms, building security. Yes
Day-to-day management Repairs, deliveries, contractor coordination, cleaning issues. Yes, but the standard varies wildly.

Two operators can both call themselves "fully managed" and deliver completely different things. Ask for what is included and SLAs in writing.

Managed office FAQs

What is a managed office?

A managed office is a private workspace built and run for one company by a third-party operator. It is more flexible than a traditional lease and more customisable than a serviced floor. You get a dedicated space and a single monthly fee, with the operator handling fit-out, furniture, IT, utilities and day-to-day management.

What is included in a managed office?

Most managed offices include the fit-out, furniture, broadband, utilities, cleaning and day-to-day management in one monthly fee. Reception, meeting room credits and security depend on the building. Always ask for the detailed services list before you sign, because the gap between operators is wider than the headline price suggests.

How long are managed office contracts?

Managed office terms typically run 2–3 years. They are shorter than a traditional lease and longer than a serviced floor. Notice periods, break clauses and renewal mechanics are all negotiable. Bear in mind there are usually two agreements in play - a lease and a management service agreement - and the lengths need to match.

What should you ask before signing a managed office contract?

Read the full services list line by line. Then ask: (1) Are there one or two agreements, and do the terms match? You will often need to sign both a lease with the landlord and a management service agreement with the operator. (2) Who is the underlying landlord, and who is the management provider? You are usually negotiating with both, plus their agents. (3) What exactly is included in the monthly fee, and what is billed separately? (4) Who handles repairs, deliveries and on-site issues - the operator or the landlord? (5) What is the break clause on each agreement, and what does it actually cost to use? (6) What is the fit-out lead time, and what happens if it slips? (7) What happens if we need to expand or contract during the term? (8) What are the renewal terms and how is the next price set? (9) What are the dilapidations and reinstatement obligations at the end? (10) Where do termination notices go, and to whom? You typically need to serve both the landlord and the management company, and the wrong email or wrong date can cost you the break. (11) What service levels are guaranteed, and what happens if they are missed?

How much does a managed office in London cost?

A managed office in London typically costs between £419 and £1,256 per desk per month, depending on location, building quality, contract length and fit-out spec. Always compare on total monthly cost including extras, not the headline rate. See our pricing section above for a breakdown by London submarket.

Can you customise a managed office?

You can, but most managed spaces come ready to move in, and that is the more common route. Fully bespoke fit-outs are an option if you have time and want a specific look. If you do not, pick a building that is already kitted to a standard you are happy with and put your branding inside it.

Managed office vs serviced office: what is the difference?

A serviced office is a desk or suite inside a multi-tenant floor with shared facilities and a short contract. A managed office is your own private space on a 12 to 36 month commitment. Serviced is faster and more flexible. Managed is more customisable and gives you your own brand on the door.

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