Hybrid working presents opportunity for commercial property owners
Hybrid and remote working are likely here to stay and, as a result, the commercial property market remains under pressure, with a year-on-year increase in vacancies reported in most major commercial centres for the first quarter of 2022.
According to Jones Lang LaSalle Incorporated Future of Work Survey 2022, 53% of companies plan to formalise remote working arrangement in the next 3 years, while 77% agreed that remote working would be key to hiring and retaining staff in the future (JLL, 2022).
That being said, in the same survey, 72% of those surveyed felt that the office “would remain central to their organisation’s ecosystems,” albeit in a revised role that prioritises quality workspaces and the value they can offer to employees and society as a whole. Thus, with the changing expectations of both employees and employers, the onus must shift to property owners to unlock the potential value of their current holdings.
Here are three strategies commercial property owners should consider:
- Make a space for collaboration and facilitation
With many companies looking to reduce their overall footprint in favour of improved quality of their key holdings, addressing employees’ need for flexible, collaborative workspaces will be key to reviving the commercial property market. The good news is that 73% of commercial property holders report plans to make all office space open and collaborative in the coming years. - Focus on sustainability
With decreased reliance on office space from an operational perspective, there’s an opportunity for property owners to focus on addressing the energy needs of companies, workers, and society as a whole, by shifting to renewable energy sources and creating green office spaces that enable employee productivity in an inclusive, sustainable manner. - Implement smart solutions
With flexibility among the key requirements of companies and their employees, smart technologies offer property owners a wealth of opportunities to improve their offering, from using data and analytics to optimise workplaces to providing cutting-edge collaborative spaces utilising emerging technologies to exploring automation as a solution to potential fluctuations in demand. The scale of this opportunity is massive, with only 13% of commercial property owners currently collecting and monitoring data from their properties (JLL, 2022).
With the shift in focus to sustainability and quality in the commercial property sector, you need a business partner who shares your values and commitment. It’s with this in mind that Standard Bank created PowerPulse, a unique platform designed for businesses to accelerate the rollout of their renewable energy projects. Find out more about PowerPulse here or explore more of our tailor-made property sector solutions.
References
Jones Lang LaSelle IP, 2022. ‘South Africa 2022 Q1 snapshots’. JLL [Online]. Available: https://www.jll.co.za/en/trends-and-insights/research/south-africa-q1-2022-snapshots (Accessed 26 August 2022).
Jones Lang LaSelle IP, 2022. ‘The Future of Work Survey 2022’. JLL [Online]. Available: https://www.jll.co.za/en/trends-and-insights/research/jll-future-of-work-survey-2022 (Accessed 26 August 2022).