Super (down)size: Shrinking square footage of office space becoming the norm
Whether you’re a big player with 200 bums in corporate seats or operate a little leaner, there’s no denying we’ve all been through the wringer this year thanks to the pandemic, extended lockdowns and big priority shifts in the business sector.
Despite it all there are some quick thinkers who’ve rethunk and kept their doors open by making one future-focused move: downsizing physical office space.
Cutting down on square footage isn’t a new trend but it’s more relevant now than ever
The topic was hot and happening 11 years ago when the Grand Rapid Business Journal published an article on reducing office space as a trend to watch, alongside the positive effect it had on reducing costs, corporate carbon footprint and improving employee well-being. Back then real estate was cited as the second largest expense for companies after its employees. And guess what? In 2020 real estate was still – you guessed it – the second biggest expense. Imagine that bulky cost sitting on the books when the bottom line is already under strain? The sense just doesn’t seem to be there…
Downsizing your office space can also mean reducing or avoiding retrenchments altogether in turbulent times; a preferred alternative for most companies.
“Larger companies are seeing the benefit smaller, fully serviced, office spaces are bringing to their budget’s.” – Anthony Manas – CEO of Office & Co.
You’ll notice the trend is going small and not going office less. Offices still play a fundamental role in our work-life happiness and productivity. You can take a look here.
Times and employee needs are changing, and office space needs to too
Telecommuting is alive and well, flexi-work and workers are increasing, and some employees now prefer working solo vs open-plan collaboration at the old office digs. Finances have changed. Needs (and priorities) have changed. And that often necessitates a physical downsize which not only saves on rent each month but also provides enhanced flexibility for both staff and business owners. KPMG CEO Paul Knopp told CNN Business companies are “focused on reducing real estate footprints” now and into the future. A different Paul – Paul Howells, CEO of Accumulate Capital – thinks along the same lines: “The days when a company would own or rent an office with a desk in it for each and every member of staff are coming to an end.”
Spending top dollar on prized office space, large corridors and that corner office no longer makes the sense it used to. Times are a-changin’ and to adapt it may well be time businesses start thinking small.
At Office & Co. we have all types of workspace available if you’re looking to downsize on physical office space. With utility a top priority, our spaces fulfil your essential workspace needs – including access to boardrooms, individual desks and more – all while being COVID compliant. Explore our office space in Joburg and Cape Town today.
Please complete the form below and we will get back to you soonest. We look forward to discussing your office space requirements.
Privacy & Cookies Policy
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.