Despite offices being largely vacant for the past few months, causing the flexible workspace industry to take a major hit, CBRE believes that the sector will come out stronger than ever in the long-term.
According to a report released by CBRE, companies will flock to flexible workspaces that offer a more fluid environment. Large organizations will likely keep a core office front in major cities, while also adopting smaller offices in the suburbs to meet continued remote working needs. These offices are beneficial to both the company and employees by reducing overhead costs, cutting down on commutes, and keeping everyone safe and healthy.
Coworking and serviced offices could also play a big role in a company’s Business Continuity Plan. CBRE added that many inquiries into alternative workspace solutions in China, Hong Kong and Singapore have come from large occupiers who are looking for low-risk work arrangements.
Flexible offices also help tenants avoid massive upfront costs since they are already fully-equipped and include essentially everything a company needs to operate efficiently. Even more, CBRE noted that several large companies have already committed to long-term agreements for coworking spaces and expects this trend to continue.
Additionally, coworking and flexible offices serve as a great resource for big organizations looking to meet physical distancing guidelines.