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H Y B R I D W O R K A N D O C C U P A N C Y
A N A L Y T I C S W I L L D R I V E L E A S E D E C I S I O N S
Hybrid work continues making it difficult
for office-based organizations to gauge
just how much space they need, and in
turn, which locations to renew, exit, or start
leases. Changes to hybrid work policies can
help increase or decrease space utilization,
but different employee populations and
company cultures will also affect how
employees respond to these changes in
policy. In other words, every organization
has to experiment and test hybrid policies
for themselves to learn how much space
employees need to be effective.
The types of spaces employees need and
expect in the office continues to change,
too. And organizations that react quickly to
employee demand for different types of
spaces will have more success driving the
utilization they want as well.
For example, a sea of desks or cubicles
doesn't invite collaboration or promote
productivity, and can create an undesirable
work environment for employees who have
the flexibility to work from other locations.
If employees want to use time in the office
to collaborate with colleagues, employers
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need to accommodate that with
reservable neighborhoods, multi-purpose
spaces, and a variety of meeting areas. If
employees hope to be more productive in
the office, an organization may need to
dedicate more space to private
workspaces. Space allocation changes an
office's capacity and desirability, and
ultimately impacts whether a given lease
works for an organization. Employers who
intend to make substantial changes to
space allocation may also need to
consider negotiating for tenant
improvement allowances and other terms
to ensure a given space meets employee
needs.
6 Predictions for Lease Accounting and Administration: Prediction #4
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