Market dynamics are changing
As-a-service models have become the new consumption demand pattern across all verticals, fundamentally transforming how people consume services. The real estate market is not immune. It has lagged behind in the past, but the time is now to enable agility and flexibility. Workers want easier ways to find and access space with as few touchpoints as possible. Some landlords struggle to wrap their heads around how to deliver flexibility and make their space offering more transactional. The dialogue between landlords and operators has changed. Management agreements and joint ventures with an overlayed operating model are becoming the norm.
The shift from leases to license agreements, long-term to short-term, and shared amenities is driving the evolution of the real estate market. The focus turns yet again on technology. Landlords are identifying systems, tools, and infrastructure that unlock flexibility and enable transactional flexibility across their business. Although skeptical in previous years, the commercial real estate community sees the value in flexible office models as enterprise customers are staying longer than anticipated on shorter-term lease agreements.
Requirements are evolving
As corporate occupiers continue to drive demand for flexible office products, space providers are settling into a new reality of service requirements. Yet again, it comes back to tech. An enterprise tenant generally comes with a checklist of technology needs and questions about data handling and protection, network management, and compliance standards. Proving best practices and demonstrating that your infrastructure meets HIPPA and FINREG regulations can help attract and retain customers.
Security and resilience are critical, too. Network infrastructure that is resilient and can offer protection, privacy, and control for individual companies and users is essential. While these are table stakes for enterprise customers, the panelists suggested companies of all sizes are starting to demand a higher security level. You must be able to satisfy these conditions and prove best practices to ensure you’re not missing out on any market segment.
Tune in to the full conversation here.