The City of London has been knocked out of the top four most expensive office locations in Europe, research from NB Real Estate and ONCOR International has shown.

A 38% drop in prime rental values in the area between the end of 2007 and the end of 2008 has seen the area fall from third to fifth in the rankings.

At the end of 2007 prime rents were at E88 (£77)/sq ft compared with prime rents of £55 (£48.50)/sq ft at the end of 2008.

London’s West End remains the most expensive place in Europe to rent an office, despite the steepest decline in rental values over the year.

At the end of 2007 prime rents in the West End were at E167 (£145)/sq ft compared with E89/sq ft (£78) sq ft, a drop of 45%.

Moscow was the second most expensive office location at E81 (£71.40)/sq ft and Paris’s Triangle D’Or district, between the Champs-Elysees and the River Seine, was third at E69.70 (£61.50)/sq ft.