SALM TEAM 
Now that hybrid working has entered the mainstream, companies are making changes to their operations, such as downsizing their real estate footprint.
Landlords need to capitalise on the hybrid trend by adding flex space to their portfolio because what employers want in an office has significantly changed in the post-pandemic world of work.
Flexibility
The shift towards flex space was already well underway before COVID-19, but the pandemic has accelerated the speed of adoption.
This has increased demand for shorter leases, allowing employees to work from flexible workplaces closer to their homes. In the new world of work, office space that can be reconfigured to fit the occupier’s changing requirements, spaces for connecting and collaboration, and meeting rooms are of particular importance.
A study by Verdantix for the technology platform Essensys examined the key factors ‘driving demand for flexible workspaces’.
“It’s about giving tenants flexibility, a consistent experience and easy movement across an entire network of spaces,” says Jeremy Bernard, North America CEO for Essensys, adding that “86 per cent of landlords said [lease flexibility] was either an influential or very influential factor in driving growth for flex space. Coincidentally, tenants also rated lease flexibility as one of the most important market trends, with 66 per cent labelling it as very important.”
Differentiated spaces
Landlords must be much more innovative in providing diverse interior spaces to accommodate different types of work and boost productivity. Interactive zones for collaboration, whether that means meeting rooms or more informal lounge and breakout areas, will be at the top of many companies’ wish lists—a key priority for the days when employees gather together.
“The cubicle farm has to go,” says McKinsey in an article arguing that the workplace needs to become more ‘magical.’ People are returning to the workplace because the space is safe, comfortable, easy to navigate, invites collaboration, and offers a ‘wow’ factor,” they say.
“Smart conference spaces, collaboration areas, and lounges that inspire the collision of ideas and creativity will define the floor plate, depending on the nature of work taking place,” says Joanne Bushell, MD, IWG, South Africa. In addition to collaboration spaces, tenants will want more private booths where employees can make video calls or have off-the-record conversations,” she adds.
In fact, IWG has already increased the number of areas dedicated to meeting rooms and collaboration.
Smart technology
Imagine, as an employer, if staff were armed with an app that enabled them to navigate their way around your building, find the conference room where their meeting was taking place, or find the desk that had been booked for them. What if you could understand how your workspace was used in real-time and see when it was at its busiest?
This kind of smart technology is already available and promises to make managing offices more efficient in the coming years. No-touch technology has also become a boon. Biometric security and space management systems have allowed touchless access to buildings, workspaces, and meeting rooms. In the future, phone scanning could be replaced with face or voice recognition in the same way that biometric payment technology works.
Well-being sanctuaries
Facilities supporting employees’ physical and mental well-being are at the top of many firms’ priorities. During the pandemic, many people reported feeling lonely, and by encouraging people not to work from home full-time, instead providing them access to a convenient nearby coworking space as well as an attractive HQ, individuals will benefit from both being around others and getting away from the isolation and distractions of home life.
Knight Frank’s global survey of office occupiers corroborates this: “We believe sanctuary spaces will become a more discernible feature of best-in-class office buildings. In our view, the next amenity wave will be around education as businesses grapple with an extensive upskilling and reskilling agenda.”
According to Knight Frank, the top three facilities that global occupiers are looking for now are those that support mental well-being (56%), cycle storage (55%), and drop and collect parcel points (53%). Other popular features are creches and rooms for new parents to feed and change their babies, as well as space for yoga, meditation, massage, and pilates sessions.
Energy efficiency
With fighting climate change high on the agenda, occupiers want buildings that score well on energy efficiency certification schemes such as LEED and BREEAM, which will help them meet their environment and social governance (ESG) targets.
According to global research company Market Research Future, the number of zero-energy buildings worldwide (which generate as much power as they consume) is likely to grow at a compound annual rate of 31.67% between 2024 and 2028.
Flexible workspace is the fastest-growing sector of the global workplace market. Partner with IWG today to make the most of this exciting investment opportunity.
About IWG PLC
IWG is the global leader in hybrid work solutions and workspace brands. We create personal, financial, and strategic value for businesses of every size. From some of the most exciting companies and well-known organizations on the planet to individuals and the next generation of industry leaders. All of them harness the power of IWG’s hybrid working platform to increase their productivity, efficiency, agility, and market proximity. IWG’s unrivalled network coverage includes approximately 4,000 locations across more than 120 countries, and 83% of Fortune 500 companies are amongst our growing customer base.
Through our brands including Regus, Spaces, HQ and Signature, we help millions of people and their businesses to work more productively. We do so by providing the world’s leading hybrid work platform with professional, inspiring and collaborative workspaces and digital services, all available via the IWG app.
For more information
Visit www.iwgplc.com and for more information on partnering with IWG, see: https://www.iwgplc.com/develop-a-location
Diana Kinyanjui 
