Study: staff availability key to business location

Real Estate Weekly, Dec 11, 2002

The availability of qualified staff has become the single most important factor for companies deciding where to locate, according to European Cities Monitor, an annual survey by international real estate services firm Cushman & Wakefield Healey & Baker.

This is the first time since the survey was initiated in 1990 that" availability of qualified staff' has overtaken "easy access to markets and customers" as the most important location factor. London, headquarters to Cushman & Wakefield Healey & Baker, is ranked No. 1. Also registering big improvements in terms of availability of qualified staff are Warsaw (up nine places to 19th), Madrid {up five to 10th) and Dusseldorf (up five to 9th).

Overall, London is the "Best city to locate a business today," followed by Paris and Frankfurt. Milan moves up into the top 10 for the first time, with Prague and Dusseldorf improving the most, each going up four places; Manchester had the biggest decrease, going down five places.

David Hutchings, head of Cushman & Wakefield Healey & Baker's European Research Group, said: "Once again, Europe's top companies have nominated London as the best city in which to locate a business. But London beware! Our survey clearly shows London's position will be harmed in the medium term if the UK fails to drop the pound and switch to the Euro."

"Central Europe is the key target for further expansion of European companies. This stands against the backdrop of many of the countries in the region on the likely brink of joining the European Union. Looking to Asia, companies' sights are set on the buoyant markets of the two key Chinese cities of Shanghai and Beijing."