Author : Mary-Anne Bowring
Office Downsizing to Coworking - Understanding Post-Pandemic Workplace Trends
Most companies, regardless of size, shifted to remote work as soon as the pandemic started hitting nations across the globe. Organizations realised the high costs of maintaining office spaces as offices wore a deserted look for months. The flexibility of workspace and work hours are the buzzwords as office-based working returns after the long spell of work-from-home. Downsizing office spaces became an attractive and cost-effective choice with the development of shared coworking spaces.
The emergence of shared coworking
Many organisations began updating their office spaces to attract employees who were reluctant to leave the comforts of the home-office environment. The updates included shared team spaces, high technology, lounges, and collaborative spaces. Small and medium-sized organisations could not afford to transform offices. Flexible office spaces began attracting these companies because of the flexible packages to suit diverse work schedules.
The demand for shared office space fell by over 15 percent during the pandemic and continues to plummet as more companies are switching to downsizing by adopting coworking spaces or flexible suites. The shift is driving occupancy rates in amenity-rich shared office spaces. The average occupancy rates in the UK's shared-office spaces are above eighty percent because of the exponential demand for flexible and affordable workspaces. Companies can help employees enjoy high-speed internet, seamless customisation, concierge-like service options, and the freedom to work anytime.
High energy prices boost the shift to coworking spaces
The ongoing energy crisis because of the war in Ukraine is causing a hike in energy prices. These issues drive the need to find more cost-effective premises solutions, such as shared workspaces. The year 2023 will witness a shortage of coworking spaces and a rise in the rents charged for these serviced spaces. Choosing a shared office is a prudent option to beat the fact that energy costs and interest rates will keep rising. The economy may not recover anytime soon all the time the war in Ukraine lingers on. Worldwide, the number of shared coworking spaces may double by the end of 2024 to support the growing demand for flexible workspaces.
Technology and quality of work-environment
Organizations are ready to pay more for better employee experience in shared workspaces. Most service providers in the coworking space landscape strive to ensure superior customer experience by embracing technology. They are leveraging apps to enable customers to access self-service options besides MetaVerse and AI technologies. Digitalisation is also essential to speed up processes by saving resources.
Coworking space providers improve the work environment by focusing on parameters like wellness, amenities, space design, location, and flexibility. Modern employees expect comfort in the remote work environment. Coworking spaces are slowly shifting to the hospitality niche by providing hotel-style services. Believe it or not, several big hotel chains are planning to launch coworking space models to jump on the bandwagon. A hot tip from us is that we can expect a star-rating system in this sector soon.
Addressing the new work trends
Thanks to the pandemic, remote work became the new normal. The line between office and home burred rapidly as companies and employees discovered the benefits of the remote working model. Put simply, coworking spaces fulfilled the need to have a comfortable work environment that allowed employees easy access to amenities and comforts. Companies are taking advantage of flexible membership packages, such as weekly or 10-day memberships, to optimize their costs.
Coworking and co-living are becoming new norms as in turn each caters to the changing needs of society and addresses concerns about energy prices and inflation. Seamless flexibility, adaptability, and affordability are the main factors driving the growth in both the coliving and coworking sectors. Companies can leverage the extras that coworking offers, for example, meeting rooms on demand, large screen video meet capability, the gym, and more. Alongside this, they can harness the creativity that a young start-up mixed environment brings - i.e., harness the vibrancy as a way to get people back to the office or conduct hybrid meetings to involve office staff and remote teams for meaningful interactions.
So if you are looking for office suites with 1 to 12 persons or coworking or a mix of the two, check out Camden Gateway. Open 24 hours the Camden Gateway center is located at the northern gateway to the ever-trendy Camden Town, it boasts wonderful natural light, 3-meter ceilings, individually controlled air-con, a gym, meeting options, and members evenings. Contact Eric on 07377 812340
Mary-Anne Bowring FIRPM FRICS FARLA FCABE Founder/Head of Asset Management
Strategic partnerships, holistic delivery/ opportunities, growth, value engineering, thought leadership
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