In their latest report, Savills highlights insights from industry leaders on the future of the flexible office market. The report covers the expanded range of occupier choices for flexibility and levels of maturity. It also covers office cost analysis, occupier, operator and landlord perspectives on flex, and views on technology adoption in the sector.
Key takeaways:
- The provision of space in the UK market and globally is heavily weighted towards private office space, with 50% of flexible workspace made up of private offices
- The average size of occupier space requirements increasing by 46% on pre-pandemic levels from an average of 11 desks per transaction to 17 desks per transaction in 2021.
- Regional office markets have observed a faster recovery, with 10% of demand in H1 2021 accounted for by flexible offices which is also a main driver of expansion for occupiers in 2021 and 2022
- Companies are willing to pay a premium for a fully serviced offering on more flexible lease terms
- Technology is allowing landlords and operators to minimise time-to-value by rapidly activating flex space for any purpose, through automation of all the digital infrastructure and business processes required in the building.