Many believe offices will become a thing of the past post-pandemic; however, CNBC reported that 90 percent of companies say they will return to the office by 2024 but will utilize a hybrid model. This is among many indicators suggesting traditional office space will not become obsolete. DFW’s office market Q2 2023 remained stable at 20.6 percent vacancy—the first time in five quarters that the percentage did not increase. This is also promising.
In fact, many clients in various industries have expressed that working from home has negatively impacted their workforce and they would like to bring everyone back sooner than later. The two most common complaints are lack of mentorship and loss of company culture.
Newcomers to a company are deprived of one of the most valuable assets for personal growth and ongoing success within an organization: mentorship. When working from home, the ability to walk into someone’s office or strike up a conversation over a cubicle to seek advice or ask questions becomes impractical. The probability of a new or younger employee reaching out to someone they’ve never met for guidance is extremely low. This arrangement presents significant obstacles for those new to the organization to thrive.
Additionally, sustaining an existing company culture, or forging a new one, becomes extremely challenging when employees are not physically present in the office. I’ve observed numerous organizations essentially abandon their commitment to their values and principles because everyone is working remotely. As company culture has suffered due to the lack of togetherness, many are using this time as an opportunity to create a new culture that incorporates employee feedback. This empowerment instills a great sense of commitment to the organization among workers.
For recruiters, leveraging office building amenities and the office environment can be a main method for attracting employees to return to the office. As a result, Class A office buildings have become hotter than ever due to the new and improved amenities.
The most popular office building amenities include dining options, fitness centers, tenant lounges, conference centers, golf simulators, and even pickleball courts. Still, the most important trait for a building and office space is the ability to work anywhere within that space. Since it has become evident that one can work anywhere, the thought of being strapped to a desk is not something many want to do anymore. Therefore, the ability to move and work anywhere within an office building and office have become essential. The ability to connect to Wi-Fi anywhere, including in outdoor spaces, tenant lounges, or breakrooms allows the feeling of freedom.
Given these circumstances, office tenants have the opportunity to create, or recreate, their company cultures, by updating their office space—even while decreasing their square footage. While it is true that the conventional five-day, 9-to-5 in-office workweek has evolved, the demand for office space perseveres. Many are using office space more efficiently with staggered hybrid schedules, rotating different groups of employees through the office on varying days. One of the most notable examples of this is Zoom, even though their business model facilitates the ability to work and meet anywhere virtually.
We will likely see other major companies follow suit. Currently, 77 percent of Fortune 100 companies operate on a hybrid schedule, while seven percent require full-time, in-office work. The numbers for the latter category are continuing to increase.
Emily Hoffman is a senior vice president at Colliers Dallas-Fort Worth
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