Corporate real estate experts say hybrid work reduces office space requirements but improves work-life balance for workers.

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    Research conducted by Colliers at the CoreNet Global Summit in November defines efficient use of office space

    Atlanta, December 15, 2022 /PRNewswire/ — Hybrid work is a space requirement for many corporate real estate users over traditional office space, according to a survey of over 500 corporate real estate professionals conducted online at the CoreNet Global Summit in December 2018 by Colliers. reduce the Chicago.

    Survey respondents said that improving employee work-life balance is a key benefit for companies implementing a hybrid work strategy. Respondents also redefined success in terms of space utilization when employees divide their time between remote locations and offices.

    Below are the questions and answers asked by the respondents.

    How will the move to hybrid work impact long-term average demand for office space users?

    • Requires more space: 3.1%

    • No Overall Impact: 3.9%

    • 0-10% less space required: 4.5%

    • 10% to 20% less space required: 16.7%

    • 20% to 30% less space required: 29.8%

    • 30% to 40% less space required: 23%

    • 40% to 50% less space required: 12.7%

    • Over 50% less space required: 6.1%

    What percentage of your office user portfolio will transition from traditional leasing to flex leasing within 5 years?

    • 0-10% of lease: 13.7%

    • 10% to 20% of lease: 26.8%

    • 20% to 30% of lease: 25.7%

    • 30% to 40% of lease: 15.1%

    • 40% to 50% of lease: 11.8%

    • 50% or more of the lease: 6.7%

    With the majority of people working remotely/from home, what do you see as the biggest challenge or disadvantage for office occupants?

    • Loss of cultural identity and cohesion: 34%

    • Negative impact on young people in need of development and coaching: 31%

    • Employee engagement and retention challenges: 24.9%

    • No disadvantages: 4.9%

    • Productivity loss: 3.1%

    • Limit business growth: 1%

    • Hiring Challenge: 0.7%

    With the majority of people working remotely/from home, what do you see as the greatest opportunities or benefits for office occupants?

    • Improved work-life balance: 49.0%

    • Lower business occupancy costs: 14.6%

    • Easy to adopt: 13%

    • Improved employee engagement and retention: 6.7%

    • Positive environmental impact from reduced carbon footprint: 5.1%

    • Improved organizational productivity: 4.0%

    • Employee travel savings: 3.9%

    • No benefit: 2.3%

    • Enhanced cultural identity and cohesion: 1.4%

    Going forward, how will we define the average “successful” utilization of office space by occupants Tuesday through Thursday?

    • Occupancy rate of 80% or more: 17.2%

    • 45% to 79% occupancy: 76.65%

    • Less than 45% utilization: 6.1%

    What is the most important thing for tenants to use their office space “successfully” in the future?

    • Managers who demonstrate responsibility and leadership to make time in the office worthwhile: 63.8%

    • Management mandate: 31.2%

    • Space reduction and adoption of remote work: 28.1%

    • Providing more office space for office collaboration and gatherings: 22.4%

    • Spatial design and amenities, wellness and sustainability: 22.1%

    • Increase in number of offices very close to homes of target population: 14.9%

    “The results are insightful,” he said. Scott Nelson, CEO, Occupant Services | Global at Colliers. “This reduction in demand for office space to occupants presents them with another opportunity. It can also provide opportunities to shift spending or help finance costs rising elsewhere, such as industrial real estate and labor costs for some companies.”

    “As CoreNet Global has tracked since the start of the pandemic, office use is evolving into spaces for collaboration, teamwork, and employee private space. may be less per week, but the new configuration means that time spent in the field is more valuable and efficient.” Tim VenableSenior Vice President of Research and Content Development at CoreNet Global.

    About Corenet Global

    CoreNet Global is a non-profit organization headquartered in the United States. Atlanta, Georgia (USA), representing approximately 10,000 executives in 50 countries with strategic responsibility for large corporate real estate assets. The organization’s mission is to advance the practice of corporate real estate through professional development opportunities, publications, research, conferences, designations, and networking in 45 local chapters and networking groups around the world. For more information, visit www.corenetglobal.org and follow CoreNet Global on LinkedIn.

    About Colliers

    Colliers is a leading diversified professional services and investment management firm. Our 18,000 enterprising professionals operating in 63 countries work together to provide our clients with expert real estate and investment advice. For over 27 years, our experienced leadership with significant internal ownership has provided our shareholders with a compound annual investment return of approximately 20%. $4With $6 billion and $92 billion of assets under management, Colliers maximizes the potential of real estate and real assets to accelerate success for clients, investors and employees. For more information, visit corporate.colliers.com and Twitter. @ Colliers or LinkedIn.

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