High risers

Despite the current economic downturn, many law firms insist that expansion is essential not only for long term business success but also to secure and keep top employees.

Michael Gerrard reports

Law firms nationwide are currently on the move to new and usually much larger offices; even the much-talked about economic downturn has not stopped the arrival of the removal vans.

Lovells, with its sumptuous new multi-million pound London headquarters (see [2002] Gazette, 17 October, 9), complete with Michelin-starred chef and resident bird of prey, is the latest high profile mover, following swiftly on the heels of Slaughter and May and Mishcon de Reya.

They, in turn, are preceding Olswang's move next month and Clifford Chance, which moves next year.

And Allen & Overy is set to relocate to a new 750,000 square foot office in Spitalfields during 2006.

This desire to relocate is far from a London phenomenon, both Bristol's Clarke Willmott & Clarke and Birmingham's Gateley Wareing are moving to larger premises within their cities in coming months.

Any chill economic winds currently blowing have not acted as a deterrent, owing to the fact that, in many cases, necessity in the shape of expiring leases and growing head counts has often forced the issue.

In addition, many firms believe it necessary to look beyond the current financial climate when considering accommodation issues.

Lovells partner Simon MacDonagh notes: 'We made the decision to move into this new building five years ago, so when you talk in terms of economic cycles we have probably been through two in the time since the decision was made.'

Such statements show that any firm on the move is judging what its needs will be in ten to15 years' time, not merely tomorrow.

Others take the view that a move in itself sends a message to clients and others about the firm's robustness and virility.

Gateley Wareing is set to relocate to a 12 million building in the heart of Birmingham's commercial district.

The 44,000 square foot property once housed the city's ear and throat hospital, but the firm's managing partner is clear that the move will not cause the practice to catch a cold.

Peter Davies says: 'We see this as a big statement that we are growing and making a big investment at a time when things may look more difficult.' He adds - and others concur - that a firm will not be economically handicapped if it has strength in more than one discipline.

This is especially true of the large London operations, where the trick appears constantly to maintain the right mix of disciplines - M&A and corporate activity may be down, but there is a greater demand for corporate recovery and litigation practitioners.

Demand for specific specialisations may change, but nearly all those firms that are relocating claim their present facilities are insufficient for an ever-upward growth in employees.

Clarke Willmott & Clarke is a good example.

It only moved into its current Bristol building two years ago, but a series of lateral hires and the adoption of a number of practice areas, such as sports law, means that numbers in that office have doubled from 90 to 180.

Now the firm is on the move again, trading in 27,000 square feet for a roomier 69,000 square feet next spring.

The new five-storey building's signature feature - a glass atrium extending through much of the building - will further increase this sense of space.

Once the decision to move has been taken, the real work begins with firms deciding on which features to include and how work areas are arranged.

In terms of the latter, there is something of a debate as to whether staff should be housed in individual or cellular offices, or whether the new offices should follow the modern trend and go open-plan.

This is the option being taken by Clarke Willmott & Clarke for the design of its new George's Square headquarters.

Most of the other movers have opted for a mixture of both, but Gateley Wareing's staff members have decided to maintain the more traditional cellular arrangement.

Mr Davies says: 'They have spoken to counterparts in other Birmingham firms and have been told that open-plan is quite a difficult environment to work in.

It can be quite distracting to be surrounded by many other people when you are trying to plough through a 150-page lease.'

This factor ties in with claims made by relocating firms that the comfort of their staff and the quality of their work surroundings are paramount issues.

In particular, it is thought such factors can act as a useful recruiting sergeant, especially at the upper echelons of the profession where there is little to separate the leading players in terms of quality of work.

Lovells' Mr MacDonagh says: 'We are all competing for the best graduates and young lawyers, and no doubt creating an excellent working environment aids that process.' His firm's new offices - the 350,000 square feet Atlantic House at 50 Holborn Viaduct in the City - accommodates more than 1,000 people and has definitely been designed with such issues in mind.

In addition to offices, the 12-storey building boasts a 150-seat hi-tech auditorium, facilities for client entertaining and a terraced roof garden patrolled by a hawk, Hermione, which keeps pigeons at bay.

Other features include a gymnasium, a restaurant serviced by Michelin-starred chef Adrian Gilmartin, snooker facilities and sleeping pods for employees.

In addition, the office is dominated by a giant water-operated sculpture, called Libra and designed by artist Angela Conner.

It is said to be the largest of its kind in Europe.

Mr MacDonagh claims that 'with a bit of imagination, it is fairly easy to improve facilities for your people and improve the quality of their working lives'.

Lovells' new facilities may be at the grand end of the scale, but many practices are now recognising that being seen to look after the needs of employees provides wider-reaching benefits.

Clifford Chance's London managing partner Peter Charlton notes: 'For clients, if one is seen to be looking after one's staff it says something about your standards.'

His firm is scheduled to move to a new 1.1 million square foot headquarters in Canary Wharf next summer, and will initially house about 3,000 people, but with space for growth.

He adds there may not be water-feature sculptures, but the building will provide top quality facilities for staff and clients alike, including a riverside restaurant with breath-taking views.

The enormous size of this purpose-built headquarters reflects Clifford Chance's belief that every member of the firm's London operation should be housed under one roof.

Mr Charlton says this is necessary because the highly integrated nature of its different practice areas.

That said, despite the fact that many of the firm's clients are also based in the Docklands, Clifford Chance will maintain a suite of offices and meeting rooms in the City to cater for clients based there.

Other firms take a more relaxed view on the 'one roof' principle - noticeably Lovells, which is maintaining its old premises at 21 and 65 Holborn Viaduct alongside Atlantic House.

The firm remains comfortable with the idea of a 'campus-type' arrangement with which it has been familiar for many years.

Whatever the form of building chosen and however opulent the furnishings it is apparent that the trend to move into new offices is one that is set to continue, if, as the relocating firms claim, they have to accommodate ever-increasing staff levels.

Michael Gerrard is a freelance journalist