In these changing times, businesses are being more cautious than ever before when it comes to how much office space they need. There are a range of opinions within industries about the best way to return to work after the pandemic. Some people believe that working from home should be embraced more easily and for a longer term, while others think that returning back to work in a staggered manner is the best option. Either way, this return-to-work scenario has given rise to several different perspectives within the industry. For example, some companies might be considering downsizing their physical office space and instead investing in remote working capabilities for their employees. Others might be taking a hybrid approach where some employees work from home while others come into the office on a rotating basis. No matter what the approach, it's clear that there's a new normal when it comes to office space requirements and it's important for businesses to be adaptable in order to stay ahead of the curve.
Given the current business climate and resulting pressure on revenue, one key expectation for office space requirements is a preference for multiple smaller offices located across the city, rather than a consolidated office in a central location.
This strategy will help companies to maintain social distancing norms while still utilizing their current office space. By having smaller satellite offices in multiple locations, employees will be able to work closer to home, making their commute more manageable.
One of the main advantages of this type of model is that it significantly reduces the overheads that are associated with renting or leasing a larger, more expensive office space in a central location of the city. With multiple smaller offices located in residential areas, it also cuts down on travel time for employees. As a result of this, there has been an increase in demand for flexible office spaces. Flex spaces are considered a viable option as they provide business owners with access to a fully equipped office without having to make a long-term lease commitment.
Office space market for a more adaptable future:
In 2025, the workforce will be made up mostly of millennials, and this new generation of workers is more likely to freelance or build portfolio careers instead of signing traditional work contracts. They're also able to work from anywhere, thanks to new technology. Workplaces are increasingly informal too, with more demand for meeting and social space.
The Covid-19 pandemic has shown the importance of disaster preparedness and potentially suppressed demand for office space in future. As more staff work from home and tenants are unsure of their future space needs, occupants who still need office space are likely to request it more flexibly.
This means that property owners will need to accept a future business model where they are more than just suppliers of real estate. The services and technology on offer will be just as important as the building itself.
All in all, the pandemic has forced office spaces - both big and small - to change the way they operate in order to ensure a safe and healthy working environment for their employees. This includes things like more flexible working hours, rostered shifts, and even satellite offices closer to people's homes.
The workplace has evolved from being simply functional to being more experiential and meaningful. Fortunately for the Indian market, flexible workspace had already become popular in the country's office market and was widely accepted as a preferred mode of setting up an office.
In the next few years, we will see a big change in the way that flex spaces are used. Operators are starting to outfit their spaces with new technologies, wireless devices, and space management software. These innovations are designed to improve and simplify the workplace experience. Flexible workplace design will also become more popular, with a focus on health and wellness, open areas, and smarter designs in the workspace.
The immediate question is how.
It's important to consider the infrastructure when working from home - things like utilities, internet, and electricity. For example, how will increased usage affect our internet service provider's ability to provide us with quality service? And what will happen to our bill? We need to be mindful of these things so that we can be prepared for any challenges that come our way.
It is also believed that remote working could provide a long-term solution for many enterprises. In recent years, there has been a growing trend among enterprises to seek out flexible workspaces. This is because they want to convert their real estate costs from a fixed expense to a variable expense, which would free up significant cash flow. This would also give enterprises the advantage of being able to adapt to business fluctuations in a more seamless manner.
Flexible workspaces offer a lot of advantages for businesses, including the ability to add real estate to their portfolio as an agile asset. With agile real estate, businesses can choose the initial capital expenditure that goes into space, giving them control over the contraction and expansion rights that can be leveraged to align with their business needs. This can be a great way for companies to save money and align their business needs with their real estate portfolio.
Using Flex Space as a Growing Company
Flex space dwellings are a great option for businesses that are growing rapidly because they offer leases that allow businesses to plan for future changes. Companies usually lease the space for five years or less, which enables them to move quickly if they outgrow their current location.
The way we work is changing, and it's important to be aware of the evolving needs of employees and members. The policies and practices we put in place now, with the goal of creating a collaborative ecosystem, will lay the foundation for a new way of working and a new type of workspace.
For businesses that are just starting up or expanding into new markets, flex space may be the best option. Flex space is a type of infrastructure that can be quickly moved from one location to another, and it come in a wide range of sizes. The largest flex spaces can cover up to 60,000 square feet.
To Conclude
Flex space, also known as "flexible space," is a type of land that provides organizations with adaptable office space on a month-to-month or three-year lease. It typically consists of workplaces, warehouses, and manufacturing facilities all under one roof. By investing in flex space property, you're opening up different opportunities to help you grow your business in the way you want.
The writer is Avneesh Sood Director Eros Group
