A new report from office landlord Workspace Group shows that flexible office demand in London has officially returned to pre-pandemic levels.
Companies pivoting to hybrid work policies are driving this growth, with occupancy reaching nearly 90% as of the end of March. This marks a 7.8% increase from the year prior and is in line with levels seen since 2019.
“Our focus over the past year has been to support our customers’ return to the office, rebuild like-for-like occupancy back to 90% and drive trading profit growth,” said Graham Clemett, CEO of Workspace Group. “Customers want their office space to be as flexible as their working habits.”
According to Workspace Group, growing demand allowed its rental income to increase by 6.4% and get back to profitability.
Businesses large and small have become more keen on flexible work policies, allowing workers to split their time between home and the office.
To best suit this without increasing their office footprint or expenditures, many companies are turning to fully-equipped flexible offices due to their lower costs compared to traditional space and proximity to workers’ homes.