Consumer Mindset Drives Workplace Change

In a special session at MBA CREF last week, Scott Marshall, president and chief development officer of Hana, says that the evolving workplace is all about growth through flexibility.

SAN DIEGO—“The consumer mindset is helping drive the evolving workplace.” So said Scott Marshall, president and chief development officer of Hana, during a special session at MBA CREF last week. “Today’s workplace is fundamentally different than it was 20, 10, and even just five years ago, with the pace of change accelerating faster than ever before.”

Amid this, Marshall explained, companies must continuously monitor, adapt and evolve to maintain a competitive advantage-in both the markets they serve and among the talent they covet.

Not only is today an evolving workplace, he said, but it should be able to scale and flex. In addition, “the evolving landscape of work has very real implications for real estate finance.”

Technology mobility and personalized experiences, a liquid workforce and dynamic landscape are also helping to drive the evolving workplace, he said.

As for the reasons why? Marshall explained that business is changing faster than ever before. “Agility is here, for individuals and for organizations. The workforce is becoming more liquid. Approximately 88% of highly engaged employees have more control over their work experience, including where they work, and business operations are becoming more agile to stay ahead.”

How do buildings with coworking perform compared to each other?

According to Marshall, you will see an improvement of cap rate averages…an increase in value. When talking about the office building of the future and what it will really look like, Marshall says there will be a long term lease landlord to tenant for about half of the building, but there will also be a band of the building with management agreements, then on demand and shared workspace by occupants in the building or outside people and then amenities and activated common areas on the bottom third of the building.

“Tenants believe that their space begins in the lobby, and building owners are looking at how they can optimize their space,” he said. “Coworking is becoming the Band-Aid to the entire industry.”