There has been a huge shift over the last 5 years in the demands occupiers place on their workspace and in the way it is sourced and procured.
The blank canvas office accommodation market makes up only a small proportion of overall take up, sub 5,000 sq ft, today. Traditional businesses, that typically lease this type of space have been fair less active since the pandemic as they grapple with the changing patterns and new ways in working practices. As a result, they have become less certain on what, where and how much workspace they need.
The London office market has become dominated with emerging SME occupiers, particularly from the creative and technology sector. These occupiers either start life in or have had some experience of serviced workspace. The progressive nature of the these businesses means they actively seek the benefits that leasing serviced workspace comes with i.e. flexible lease terms, on demand services and amenities and hassle free maintenance and rental packages.
As these occupiers mature and their growth stabilises they start to consider relocating out of serviced space. Seeking their own front door, a private space where they can have greater control over their workspace amenities and a space where they are able to curate their own workspace environment and grow their company culture.
These occupiers are unlikely to have had any pervious experience of acquiring, fitting out and or running workspace, so they look to landlords and operators so they don’t have to.
The tide is unlikely to turn and as a result the traditional blank canvas workspaces is being left behind with extended and often considerable void periods being experienced.
We were pioneers in developing and adopting some of the earliest CAT A+ and Fully Fitted workspaces. We worked on the early concepts of LGIM’s Capsule and Shaftesbury’s Assemble. These workspace solutions were created in direct response to the changing needs of occupiers.
Get in contact to discuss how we can help you develop your workspace product so it outperforms the market and more importantly, doesn’t get left behind.