Some Post Pandemic Office User TrendsAugust 31, 2021
As we dive deeper and deeper into post Covid-19 life we are seeing new office trends. Forbes Real-Estate Council Member, Joe Brady released an article highlighting workplace trends that will affect employees return to the office and we thought it was worth sharing a quick summary of the article.
The first trend that the article points out is a shortage of demand relative to previous years, and specifically in San Francisco. The reduced demand in San Francisco creates more activity in the surrounding areas. One area seeing this demand is along the North I-680 Corridor. Workplaces out in the suburbs have become popular in the post pandemic market because of the easy commute for employees. Cities like Walnut Creek and Pleasanton are highly valued due to easy commutes for residents in the East Bay.
A second trend that was noted was corporate office space needs will likely become smaller in the future. The article states that most corporate office needs will be reduced because of the advancement of technologies like zoom, allowing employees to work from home while still maintaining the same amount of production. This trend was seen during 2020 as lease transaction sizes have dropped by 29%.
This pandemic also brought about the change in how companies view property. Organizations need the ability to move in the event of downsizing and or upsizing which will result in reduced leasing periods. Companies signing 25-to-30-year leases are less likely to occur because of the prioritization of agility.
Landlords should always be ready for turnover in their buildings and tenants should always be revaluating if their space is suiting their needs. If you need help strategizing the best use for your building or need to find a new place for your business feel free to contact me.
Thanks for reading,
Chris Crabtree | 510-915-7645