With just 14% of occupiers believing their existing portfolios align with their business objectives, the office sector is in “a full state of flux.”
In our latest report on the future of the office we partnered with Urban Land Institute to survey 285 office occupiers, landlords and third-party advisers in North America, Europe, Asia Pacific, the Middle East and South America, including interviews with industry experts and the findings of two roundtables.
Landlords (80%) and occupiers (75%) expect greater lease flexibility and agility over the next five years. “In a sense, the leasing relationship will need to become more of a partnership between the landlord and occupier,” said Craig Hughes, CEO of Partnerships.
As leases change, 62% of landlords expect a decrease in capital values with the current valuation model, which only awards long-term contracts. Valuations need to acknowledge the value of providing additional services and amenities, as well as brand and reputation.
Download the full report to find out more >