www.wealthmanagement.com
Open in
urlscan Pro
2606:4700::6812:9617
Public Scan
URL:
https://www.wealthmanagement.com/office/office-not-dead-just-evolving-and-definitely-here-stay
Submission: On August 31 via manual from US
Submission: On August 31 via manual from US
Form analysis 1 forms found in the DOM
POST /comment/reply/124155
<form class="comment-form" action="/comment/reply/124155" method="post" id="comment-form" accept-charset="UTF-8">
<div>
<div class="user-comment-body">
<div class="user-comment-field">
<div class="user-photo">
<img class="user-thumb-img" src="https://www.wealthmanagement.com/sites/all/themes/penton_core_theme/images/account-default-image.png" alt="">
</div>
<div class="user-content">
<div class="user-name">
<a href="/" class="js-penton-user-url-profile"></a>
</div>
<div class="user-comment">
<div class="field-type-text-long field-name-comment-body field-widget-text-textarea form-wrapper" id="comment_body">
<div id="comment-body-add-more-wrapper">
<div class="text-format-wrapper">
<div class="form-item form-type-textarea form-item-comment-body-und-0-value">
<label class="element-invisible" for="edit-comment-body-124155">Comment <span class="form-required" title="This field is required.">*</span></label>
<div class="form-textarea-wrapper resizable textarea-processed resizable-textarea"><textarea class="text-full ckeditor-mod form-textarea required ckeditor-processed" placeholder="Be the first to comment..."
id="edit-comment-body-124155" name="comment_body[und][0][value]" cols="60" rows="5" style="visibility: hidden; display: none;"></textarea>
<div id="cke_edit-comment-body-124155" class="cke_1 cke cke_reset cke_chrome cke_editor_edit-comment-body-124155 cke_ltr cke_browser_webkit" dir="ltr" lang="en" role="application"
aria-labelledby="cke_edit-comment-body-124155_arialbl"><span id="cke_edit-comment-body-124155_arialbl" class="cke_voice_label">Rich Text Editor, edit-comment-body-124155</span>
<div class="cke_inner cke_reset" role="presentation"><span id="cke_1_top" class="cke_top cke_reset_all" role="presentation" style="height: auto; user-select: none;"><span id="cke_12" class="cke_voice_label">Editor
toolbars</span><span id="cke_1_toolbox" class="cke_toolbox" role="group" aria-labelledby="cke_12" onmousedown="return false;"><span id="cke_13" class="cke_toolbar cke_toolbar_last" role="toolbar"><span
class="cke_toolbar_start"></span><span class="cke_toolgroup"
role="presentation"><a id="cke_14" class="cke_button cke_button__bold cke_button_off" href="javascript:void('Bold')" title="Bold (Ctrl+B)" tabindex="-1" hidefocus="true" role="button" aria-labelledby="cke_14_label" aria-describedby="cke_14_description" aria-haspopup="false" aria-disabled="false" onkeydown="return CKEDITOR.tools.callFunction(2,event);" onfocus="return CKEDITOR.tools.callFunction(3,event);" onclick="CKEDITOR.tools.callFunction(4,this);return false;"><span class="cke_button_icon cke_button__bold_icon" style="background-image:url('https://www.wealthmanagement.com/sites/all/modules/contrib/ckeditor/ckeditor/plugins/icons.png?t=JB9C');background-position:0 -24px;background-size:auto;"> </span><span id="cke_14_label" class="cke_button_label cke_button__bold_label" aria-hidden="false">Bold</span><span id="cke_14_description" class="cke_button_label" aria-hidden="false">Keyboard shortcut Ctrl+B</span></a><a id="cke_15" class="cke_button cke_button__italic cke_button_off" href="javascript:void('Italic')" title="Italic (Ctrl+I)" tabindex="-1" hidefocus="true" role="button" aria-labelledby="cke_15_label" aria-describedby="cke_15_description" aria-haspopup="false" aria-disabled="false" onkeydown="return CKEDITOR.tools.callFunction(5,event);" onfocus="return CKEDITOR.tools.callFunction(6,event);" onclick="CKEDITOR.tools.callFunction(7,this);return false;"><span class="cke_button_icon cke_button__italic_icon" style="background-image:url('https://www.wealthmanagement.com/sites/all/modules/contrib/ckeditor/ckeditor/plugins/icons.png?t=JB9C');background-position:0 -48px;background-size:auto;"> </span><span id="cke_15_label" class="cke_button_label cke_button__italic_label" aria-hidden="false">Italic</span><span id="cke_15_description" class="cke_button_label" aria-hidden="false">Keyboard shortcut Ctrl+I</span></a><a id="cke_16" class="cke_button cke_button__blockquote cke_button_off" href="javascript:void('Block Quote')" title="Block Quote" tabindex="-1" hidefocus="true" role="button" aria-labelledby="cke_16_label" aria-describedby="cke_16_description" aria-haspopup="false" aria-disabled="false" onkeydown="return CKEDITOR.tools.callFunction(8,event);" onfocus="return CKEDITOR.tools.callFunction(9,event);" onclick="CKEDITOR.tools.callFunction(10,this);return false;"><span class="cke_button_icon cke_button__blockquote_icon" style="background-image:url('https://www.wealthmanagement.com/sites/all/modules/contrib/ckeditor/ckeditor/plugins/icons.png?t=JB9C');background-position:0 -216px;background-size:auto;"> </span><span id="cke_16_label" class="cke_button_label cke_button__blockquote_label" aria-hidden="false">Block Quote</span><span id="cke_16_description" class="cke_button_label" aria-hidden="false"></span></a></span><span
class="cke_toolbar_end"></span></span></span></span>
<div id="cke_1_contents" class="cke_contents cke_reset" role="presentation" style="height: 100px;"><span id="cke_21" class="cke_voice_label">Press ALT 0 for help</span><iframe src="" frameborder="0"
class="cke_wysiwyg_frame cke_reset" title="Rich Text Editor, edit-comment-body-124155" aria-describedby="cke_21" tabindex="0" allowtransparency="true" style="width: 100%; height: 100%;"
data-gtm-yt-inspected-13489924_25="true"></iframe></div><span id="cke_1_bottom" class="cke_bottom cke_reset_all" role="presentation" style="user-select: none;"><span id="cke_1_resizer"
class="cke_resizer cke_resizer_vertical cke_resizer_ltr" title="Resize" onmousedown="CKEDITOR.tools.callFunction(0, event)">◢</span><span id="cke_1_path_label" class="cke_voice_label">Elements path</span><span
id="cke_1_path" class="cke_path" role="group" aria-labelledby="cke_1_path_label"><span class="cke_path_empty"> </span></span></span>
</div>
</div>
<div class="grippie" style="display: none;"></div>
</div>
</div>
<a class="ckeditor_links" style="display: inline;" href="javascript:void(0);" onclick="javascript:Drupal.ckeditorToggle(['edit-comment-body-124155'],'Switch to plain text editor','Switch to rich text editor');" id="switch_edit-comment-body-124155">Switch to plain text editor</a>
<fieldset class="filter-wrapper element-invisible form-wrapper" id="edit-comment-body-und-0-format">
<div class="fieldset-wrapper">
<div class="filter-help form-wrapper" id="edit-comment-body-und-0-format-help">
<p><a href="/filter/tips" target="_blank">More information about text formats</a></p>
</div>
<div class="form-item form-type-select form-item-comment-body-und-0-format">
<label for="edit-comment-body-und-0-format--2">Text format </label>
<select class="filter-list form-select" id="edit-comment-body-und-0-format--2" name="comment_body[und][0][format]">
<option value="comments" selected="selected">Comments</option>
<option value="plain_text">Plain text</option>
</select>
</div>
<div class="filter-guidelines form-wrapper filter-guidelines-processed" id="edit-comment-body-und-0-format-guidelines">
<div class="filter-guidelines-item filter-guidelines-comments" style="display: block;">
<h3 style="display: none;">Comments</h3>
<ul class="tips">
<li>Allowed HTML tags: <em> <strong> <blockquote> <br> <p></li>
</ul>
</div>
<div class="filter-guidelines-item filter-guidelines-plain_text" style="display: none;">
<h3 style="display: none;">Plain text</h3>
<ul class="tips">
<li>No HTML tags allowed.</li>
<li>Web page addresses and e-mail addresses turn into links automatically.</li>
<li>Lines and paragraphs break automatically.</li>
</ul>
</div>
</div>
</div>
</fieldset>
</div>
<a href="#" class="publish js-publish user-comment__publishbtn" style="display: none;">Publish</a><span class="comment-error"
style="display: inline;"><a href="/penton_modal/nojs/login" class="ctools-use-modal ctools-modal-modal-popup-login ctools-use-modal-processed" rel="nofollow">Log in or register to comment</a></span>
</div>
</div>
</div>
</div>
</div>
</div>
<input type="hidden" name="cid" value="">
<input type="hidden" name="pid" value="">
<input type="hidden" name="form_build_id" value="form-yIN0LuGTIqAgQweSFY8qJk6j4pv6eVB4K2ozz2ZrjEU">
<input type="hidden" name="form_id" value="comment_node_article_form">
<input type="hidden" name="captcha_sid" value="166339447">
<input type="hidden" name="captcha_token" value="c57c0a84afa5589c8360d5d23eae0136">
<div class="element-invisible">
<div class="form-actions form-wrapper" id="edit-actions"><button id="edit-submit-124155" name="op" value="Save" class="form-submit ajax-processed">Save</button>
</div>
</div>
<div class="url-textfield">
<div class="form-item form-type-textfield form-item-url">
<label for="edit-url">Leave this field blank </label>
<input autocomplete="off" type="text" id="edit-url" name="url" value="" size="20" maxlength="128" class="form-text">
</div>
</div>
</div>
</form>Text Content
We use cookies to improve your website experience. To learn about our use of cookies and how you can manage your cookie settings, please see our Cookie Policy. By continuing to use the website, you consent to our use of cookies. × /sites/all/themes/penton_subtheme_wealthmanagement/images/logos/footer.png Google Tag Manager Skip navigation Informa Wealth Management is part of the Informa Connect Division of Informa PLC * Informa PLC * About us * Investor relations * Talent This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726. Discover: * News * Investment * Wealth Planning * Practice Management * Real Estate - WMRE * WMTV * More * Trusts & Estates * Industry Awards * Inside ETFs * Wealth Management Magazine * WMRE Magazine * Podcasts * Forums Menu Log In or Register * Wealthies Circle – Digital Forums * News * Investment * Individual Wealth * Wealth Planning * Practice Management * Real Estate - WMRE * Technology * Research * Resources * WMTV - Video Insight * Industry Awards * Inside ETFs - September 2021 * Trusts & Estates * Wealth Management Magazine * WMRE Magazine * Podcasts * Forums * Custom Passive Portfolios * ETF Insights & Perspectives * Advisor Technology Resource Center * Strengthen Client Loyalty Resource Center * TAMP Resource Center * Subscribe: WealthManagement * Subscribe: Trusts & Estate * Subscribe: WMRE Magazine * About Us * Contact * Advertise * Newsletter * Privacy Statement * Terms of Service * Cookie Policy * Ad Choices * Search * Log In * Register * Free Newsletter Sign-up * Investment * Practice Management * Wealth Planning * Technology * Newsletter * Events Recent Recent Six Must Reads for the CRE Industry Today (Aug. 31, 2021) Aug 30, 2021 Former 1 Global Capital COO, Securities Attorneys Sentenced in $320M Fraud Aug 30, 2021 -------------------------------------------------------------------------------- Goldman Sees 750,000 Evictions in U.S. as Bans Come to an End Aug 30, 2021 Stop Buying More Technology When It Makes More Sense To Outsource Aug 30, 2021 Featured The 10 Best and 10 Worst States in Which to Retire in 2021 Jul 15, 2021 Poll: 15 Classic Books on Investing and the Markets Apr 03, 2020 25 U.S. Markets Adding the Most Multifamily Units This Year Feb 03, 2021 Fifteen Must-Listen Business Podcasts for Advisors Aug 14, 2020 Coronavirus brought to you by ED JONES/AFP/Getty Images Property Types>Office THE OFFICE IS NOT DEAD—JUST EVOLVING—AND DEFINITELY HERE TO STAY Though there are many forces at play, an office environment will remain relevant and important in the long term. Tal Peri | Jul 07, 2020 Save The current unprecedented pandemic has impacted many facets of the real estate landscape, and the office sector will be no exception. The severity and direction of these implications will vary based on the time horizon (short-, medium-, or long-term), location (strong micro-location vs. fringe, urban vs. suburban), building quality, building age, and many other factors that define the attractiveness and value of an office building. The current discussion about the future of office demand is mainly based on surveys or anecdotal evidence like statements from business leaders or a small sample set of actual lease decisions, and even those decisions may be short-term in nature. There are valid arguments on both sides. Below are some common points in the ongoing conversation. POSITIVE MARKET FORCES De-densification due to social distancing: In the short term, de-densification to accommodate social distancing rules has a positive effect on office demand as some companies are choosing to rent additional space. This should partially result in a long-term pattern due to an increased focus on health and well-being. De-densification as a general trend: Over the last three decades, office density went from 300 sq. ft. per employee for the average office user to as low as 75 sq. ft. in the case of some co-working operators. For example, since 2010, office-using jobs in New York City increased by 30 percent, whereas office demand only increased by 8 percent. While some of the more extreme density is driven by economics and affordability, there is a general expectation that more companies will revert and de-densify their spaces for productivity reasons, in addition to health. Delay and reduction in future supply: Office developments that are already under construction will certainly be completed, but as a response to a potential adjustment in demand and rent levels, future developments will slow down over time and lead to a new equilibrium. This will especially apply to speculative developments. NEGATIVE MARKET FORCES Recessionary impact: Recessions lead to bankruptcies, right-sizing, and a suppressed appetite for expansions, with downside pressures on office demand and rental rates. Hub-and-spoke model: Occupiers will likely retain their main headquarters, but reduce their footprints in densely populated city centers, while offering their employees flexibility by granting them access to a secondary office or co-working location closer to home. Working from home (WFH): The longevity and depth of the adaptation of WFH policies will arguably be the most relevant factor for future office demand. This warrants a deeper dive. ADVANTAGES AND CHALLENGES OF WFH Advantages: The implementation of WFH during the pandemic has undoubtedly worked better than many had anticipated and should lead to an increased adaptation of more flexible work models. The often-cited advantages are lower to no commute times, flexible working hours, and with those, an improved work-life balance. Challenges: Certain drawbacks that come with the WFH paradigm should limit extreme adaptation of WFH and will protect office demand in the long term. The “mass experiment” of WFH during the pandemic has happened under a sterile laboratory-type environment, with entire workforces of non-essential companies working from home. Everyone was forced to work from home and the playing field has been equal within companies. But many complications arise once companies apply a WFH policy with no physical presence for a fraction or the entirety of their workforce, as well as if the duration of WFH is extended. The following examples are prominent: * Information flow can be asymmetric and lead to dissatisfaction and a feeling of disconnection. For senior-level employees, this could result in an imbalance in decision-making and an exacerbation of political tensions, as employees who are not physically present could lose influence. This may apply in the case of promotions, layoffs, and other organizational decisions. * Employees, especially those in lower ranks, will miss out on training opportunities and the ability to spontaneously join meetings and learn soft career-building skills. * The hiring process becomes more complex in a virtual world, with employees potentially living in another city or state than their managers. This also complicates the creation and maintenance of a corporate culture and team unity, which in turn may reduce loyalty to a specific employer, as job changes across state lines may not even require moving the primary residence. * Questions surrounding motivation and distraction, which ultimately may lead to productivity losses when purely WFH. Personal living conditions vary by economic situation and stage of life, and can therefore complicate a productive work set-up, which is already lacking inherent structure. Parents working at home may be encumbered with childcare responsibilities, and others may be distracted by roommates in a relatively small city apartment without privacy or physical working space. Not all remote working is created equal. * Lack of a work persona that breeds an office-based social world where friendships and even deeper personal relationships are forged. Though there are many more arguments on both sides, an office environment is sure to offer inimitable benefits with regard to productivity, creativity, motivation, corporate culture and social interaction that will remain relevant and important for employers and employees in the long term. This explains why big tech companies create “office meccas” with extensive amenities and company cultures that spur many of the afore-mentioned positive aspects. Co-working companies, in the same vein, literally took people out of their homes or nearby coffee shops and placed them into an office environment. Once the health crisis subsides with a lasting medical solution, we should see a strong re-engagement in the office space. The below recent survey results are only three of many indicators for this belief: * Colliers surveyed 5,000 clients and found that only “12 percent want to work for four+ days from home post-pandemic.” * Savills surveyed 65,000 clients and found that “89 percent of respondents believed that physical office space remains a necessity for companies to operate successfully, but the office is set to change.” * JLL surveyed 3,000 clients and found that “58 percent of office workers missed the office, a sentiment expressed by an even larger percentage of those 35 and under.” Looking ahead, while we can expect a somewhat increased adaptation of WFH and other flexible policies, the office is certainly not dead—just evolving—and definitely here to stay. Tal Peri serves as head of U.S. East Coast and Latin America with real estate investment firm Union Investment Real Estate GmH. TAGS: Leasing Real Estate 0 comments Hide comments Comment * Rich Text Editor, edit-comment-body-124155 Editor toolbars BoldKeyboard shortcut Ctrl+B ItalicKeyboard shortcut Ctrl+I Block Quote Press ALT 0 for help ◢Elements path Switch to plain text editor More information about text formats Text format CommentsPlain text COMMENTS * Allowed HTML tags: <em> <strong> <blockquote> <br> <p> PLAIN TEXT * No HTML tags allowed. * Web page addresses and e-mail addresses turn into links automatically. * Lines and paragraphs break automatically. PublishLog in or register to comment Save Leave this field blank Related Work-From-Home Future Fades in Asia as Offices Seek More Space Bloomberg July 22, 2021 wealthmanagement.com Five Ways to Strengthen Your Team’s Culture Kevin Nichols August 18, 2021 wealthmanagement.com Are Production Studios About to Become a Major CRE Asset Class? Tom Martin August 4, 2021 wealthmanagement.com Living Through Disruption: How One Urban Office Investor Is Coping with COVID-19 Patricia Kirk August 9, 2021 wealthmanagement.com Anatomy of a Deal: Why Regent Properties’ Fund Invested in San Diego’s Downtown Patricia Kirk July 8, 2021 wealthmanagement.com 16 Must Reads for the CRE Industry Today (Aug. 12, 2021) WMRE Staff August 11, 2021 wealthmanagement.com Sponsored Milwaukee’s Frank Crivello: Mid-Year Report July 9, 2021 wealthmanagement.com Ken Van Leeuwen on the Economic Engine August 16, 2021 wealthmanagement.com How To Double Your Assets Under Management Without Adding Any Clients August 24, 2021 wealthmanagement.com Outsourcing Gains Traction with Real Estate Investment Managers August 5, 2021 wealthmanagement.com Inland Private Capital Benefits of a 1031 Exchange August 16, 2021 wealthmanagement.com Tax-Managed SMAs: Better Than ETFs? August 9, 2021 wealthmanagement.com * Load More * Contact * Advertise * Legal Notices and Disclaimers * CCPA: Do not sell my personal info * Ad Choices * Sitemap * Content Licensing/Reprints Follow us: © 2021 Informa USA, Inc., All rights reserved * Privacy Policy * Cookie Policy * Terms of Use x Close AddThis