Corporate real estate more likely to retain or increase office space in next six months: Knight Frank Survey
The survey also reports that work-from-home arrangement to continue for 50% or more staff in next six months
In a recent survey concluded by Knight Frank India amongst the corporate real estate executive (CRE) about 62% of total respondents said that they will either retain (38%) or increase (24%) their current office space portfolio. Most respondents to the survey said that their company productivity was unharmed due to the forced work from home since the lockdown. However, the survey revealed that ‘connectivity’ and ‘distraction’ from family were two critical challenges faced by the companies’ workforce while operating from remote locations.
The CRE survey aimed at understanding the changed workplace dynamics and its impact on the corporate real estate strategies. An overwhelming majority of 72% said that they are likely to continue with the work from home arrangement in the next six months due to the social distancing norms and as a Business Continuity Process. Majority respondents also said that ‘maintaining social distancing’ and ‘physical transportation of employees’ are the two main challenges at the workplace that all companies will have to find a viable solution to.
Shishir Baijal, chairman and managing director, Knight Frank, said, “The survey gives us a perspective that real estate users are unlikely to reduce their current portfolio mostly due to the norms of social distancing. Till a viable treatment for COVID-19 is found, office space users will have to maintain or acquire more space to accommodate the existing team. Work from home will co-exist, but office space will not lose its importance as a strategic tool for corporate culture development and a source of competitive advantage. Going forward, especially in the post -pandemic phase, more formulae will be devised which will include ‘work from near home’ alongside work from office and work from home. This will, in the long term, ensure there will be office developments not only in the top eight cities but in smaller towns where employees originate from.”