A guide looking at serviced offices, fitted and managed office space and office space for rent in Luton, as well as providing general information that may be useful if you are thinking of renting office space in the town.
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History & Geography
Luton is located on the east side of the rolling Chiltern Hills in South East England on the River Lea. Positioned about 30 miles north of London, Luton is one of the most important of the towns surrounding the capital. However, Luton’s origins are fairly modest; the town started life as a Saxon outpost in the 6th century, growing slowly over the subsequent years. By the time the Domesday Book was written in the late 11th century, after the Norman invasion, Luton had a population of approximately 800 people, mostly making their living off the local agricultural industry.
In the 12th century, Robert, the 1st Earl of Gloucester, built St Mary’s Church in the town centre of Luton, where it has stood since. During the English Civil War in the 17th century, Luton was the site of several skirmishes between Royalist and Parliamentary forces, resulting in the deaths of approximately 13 Royalist troops.
During the 18th century, the town became famous for its hat-making industry, which continues in Luton to this day, albeit on a much smaller scale. The 19th century saw the town’s population increase tenfold. Much of this was due to the prosperity resulting from the town’s industry. In 1834, the town received a gas supply, and by 1847, it had gas-powered streetlights and a new town hall.
In the 20th century, Luton’s hat trade declined drastically but was replaced by the auto industry when, in 1905, Vauxhall Motors opened the largest car plant in the UK. At the same time, Electrolux also opened a plant for household appliances. By 1914, Luton’s population had reached 50,000. During WWII, Luton suffered several air raids due to the presence of its Vauxhall factory. Over one hundred people died, and there was much property damage. After the war, much of Luton’s slum housing was cleared and council estates constructed. The town grew and incorporated many of the surrounding villages like Leagrave, Limbury and Stopsley.
In 2000, Vauxhall announced the closure of its factory, which had employed over 30,000 people. Currently, Luton is undergoing a regeneration program incorporating improvements to the town’s urban environment.
Economy
Luton’s economy has undergone many changes in the last couple of centuries. The town’s traditional industries of hat-making and brick-making declined in the 20th century and are no longer major industries. Vauxhall Motors still has its headquarters in the town, after the factory closed. Today, Luton is a major retail hub and is currently undergoing a regeneration scheme that will transform the town’s central business district, including a new shopping centre. Luton’s existing mall, the Arndale Centre, was refitted in 2012. A major bulwark of Luton’s economy today is its airport. London Luton Airport is the fourth-largest airport serving the London area and handles over 10 million passengers each year. Luton serves as a base for easyJet, Monarch Airlines, Thomson Airways and RyanAir. London Luton Airport and the airlines that are based there are major employers in the area.
Culture
Luton has several parks spread around the town, the two primary ones being Stockwood Park and Wardown Park. Stockwood Park boasts a free museum which houses the Mossman Collection, the largest collection of horse-drawn vehicles in the UK. The park also has an athletics track, an 18-hole golf course and several rugby pitches. Wardown Park sits on the River Lea and is home to the Wardown Park Museum, which documents the history of Luton’s hat-making industry. Luton is also known for the Luton Carnival, the largest one-day carnival in Europe. Usually, the carnival takes place on the late May bank holiday and attracts crowds of up to 150,000. Luton also celebrates St Patrick’s Day more than many UK towns, putting on a parade, market stalls and various Irish-themed events. The theatre scene is quite popular in Luton and is based around the Library Theatre and the Hat Factory, an arts venue opened in 2003 in, as the name suggests, a refurbished hat factory. Luton’s football team, Luton Town FC, nicknamed ‘the Hatters’ because of the town’s former hat-making industry, is very popular with the town’s inhabitants. The team plays at Kenilworth Road Stadium and competes in the Championship.
Transportation
Luton benefits from excellent transport links with London and the rest of the country. The town is served by three railway stations – Luton, Luton Airport Parkway and Leagrave, which are all on the same line. East Midlands Trains runs services to Nottingham, Leicester, Lincoln, Sheffield and Leeds. Currently, the city is served by fairly comprehensive bus routes. Luton is also obviously served by London Luton Airport, with connections around the country, Europe and the rest of the world.
Office space for rent in Luton
It was noted in 2012 that, due in part to its highly skilled workforce and excellent logistical connections, Luton did not suffer as badly as some towns during the economic downturn that started in 2008.
In 2012/13, prime office rents in Luton were hovering around the £20 per square foot per year mark, as with the rest of the towns around London.
At the time, Luton was in line for new Grade A office space as a result of the major refurbishment of its central business district.
In 2023, a decade on from when we first started producing this report, the highest-quality office space for rent available in Luton was at Capability Green LU1 which was quoted at £18.50 per square foot.
This was refurbished space that could be provided with partitioning or open plan.
Car parking is available with most of the offices on the market at Capability Green. The popular business park is located 1 mile from Junction 10 of the M1 Motorway and within 1.5 miles of London Luton Airport. Luton Parkway Railway Station is also less than 1 mile away.
The park has a David Lloyd leisure complex, and high-profile occupiers include AstraZeneca, Randstad, Ernst & Young, and Marriott Hotels.
The Hat Loft on Mill Yard is another example of a refurbished space, although the space available is unique and a one-off.
The two-storey former hat factory just off Guildford Street and The Bute offers a self-contained space providing stunning contemporary office accommodation measuring 580 square feet.
The quoting rent for this property was just under £26 per square foot in April 2023.
In February 2024, it was announced that easyJet had signed a lease for 52,752 square feet of prominent grade-A office space in Luton.
The airline company would make 800 The Boulevard at Capability Green its UK headquarters office.
It was observed that throughout 2025, demand was subdued but stable, with activity biased towards Grade A office space with strong ESG credentials.
As with other markets across the UK, a continued flight to quality was observed amongst occupiers seeking energy-efficient office buildings with high levels of amenities, and the secondary space vacancy rate continued to increase. This has encouraged landlords to consider refurbishing existing stock.
One such project was the redevelopment of the former Vauxhall K Block to become Morton House. The refurbished building achieved a BREEAM Good rating and an EPC Rating A.
With no new developments in the pipeline, Capability Green remains Luton’s prime out-of-town office location, and occupancy levels were around 80 per cent in Q4 2025.
The recent lettings to TUI and easyJet, totalling around 130,000 square feet, highlight the scheme’s appeal.
Several flexible workspace providers in Luton offer high-quality office space solutions in the town centre and business parks, including Capability Green.
Options include private serviced office suites with fixed-cost all-inclusive pricing, managed offices and corporate coworking memberships.
Unlike traditional office leases, the contracts are short-term licences, and the rent includes all overheads, such as service charges and utilities.
These solutions are offered in 5 buildings in Luton, in locations including Chobham Street, Hitchin Road, and Kimpton Road.
Profiles of the Luton office providers and operators can be seen here
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