New normal protocols to change office setup

CEBU, Philippines —  As companies prioritize the health and safety of their employees and implement social distancing in the workplace, changes in office real estate will be inevitable, this according to a new report published by Jones Lang LaSalle Incorporated (JLL), an American commercial real estate services firm.

The office, as we know it, will evolve. In fact, we have seen clients increasingly focused on sustainability, wellness and technology. Some have begun making environmental tweaks and upgrades to align with commitments of building trust and ensuring fit-for-purpose spaces. Owners and investors who can take advantage of this opportunity to think about long-term redevelopment plans and designing or re-fitting their facilities will benefit greatly,” said Anthony Couse, chief executive officer, JLL Asia Pacific.

JLL noted that CEOs are re-examining strategies and may consider recalibrating the amount of space dedicated to traditional office space upon lease expiry, or even before.

However, despite current headwinds, the global real estate consultant believes the office is here to stay.

In fact, in some cases the pandemic may lead to an expansion of office space, as companies try to increase physical distancing among their employees.

Current office configurations may be modified, increasing the need for additional space. In doing so, occupiers may consider tapping into flexible space from third-party operators, alongside continued remote working for some employees.

Not all remote working is created equal.

Despite a seemingly successful work-from-home experiment globally, offices will continue to be sought after in this region. Although the pandemic has shifted perceptions around the effectiveness of remote working, it has not presented a sustainable or optimal long-term solution for all corporates.

“In the past, companies have found creative ways of densifying their space to maximize their real estate portfolio. Today, we are seeing a shift where health and wellness are the driving factors in creating a conducive and safe working environment,” said Lizanne Tan, JLL Philippines’ Head of Commercial Leasing.

In Asia Pacific, millennials struggle with smaller apartment sizes, living in shared spaces, internet connectivity issues, or juggling family duties while working from home.

While remote working has been credited with providing employees with more flexibility and work-life balance, offices play a central role in creating a space for employees to collaborate, interact and unite around shared values, boost staff morale and enhance productivity.

“Today’s corporates operate in an increasingly fast-moving environment where innovation is key to retaining a competitive edge and sustaining company performance. Successful companies pride themselves on having collaborative spaces that drive excellence and innovation,” Course added.