Office Amenities Will Be More Important Than Ever in a WFH World

Amenities have always been an important part of the mix for office buildings. Here’s why: A 2019 Cushman & Wakefield study of 250-plus office buildings in North America showed that highly-amenitized buildings had an 18.3% rent premium compared to the surrounding submarket prior to the onset of COVID-19. The premium was even more substantial in the central business districts of gateway markets (+21.6%).

COVID-19, though, has turned this equation on its head as employees work from home and many are likely to want to continue some form of flex work schedules once the pandemic ends.

In its Edge magazine, C&W takes a look at what post-pandemic amenities will look like. Not surprisingly, we can expect many changes and adjustments. Perhaps more surprisingly, these amenities will be more critical than ever, even if the office takes on a less central role to a company’s operations. “Differentiation through amenities will be more vital for landlords and occupiers seeking to create vibrant spaces for employees who now have more options for where and how to work,” C&W writes.

Before COVID-19 hit, wellness, which included providing access to the outdoors and abundant natural light, had become a huge priority in office space. In the future, C&W says wellness will rely on technology, including sensors, temperature control and air quality.

While some of the wellness changes, like increased cleaning, should go away after COVID concerns fade, improved ventilation / HVAC, increased access to outdoor space and natural light, indoor greenery, meditation space, nap rooms, yoga studios and other perks should be here for the long term. Mental health could also be a focus in workplace design and strategy solutions.

To promote interaction, amenities that bring people together have been very popular and will continue to be so going forward.  C&W says property management teams will use “community management” to facilitate social events and build camaraderie across companies.

As workers return to the office, look for companies to offer opportunities for them to sit with or have fun with colleagues and meet new people. Landlords will provide shared communities where tenants co-locate with other similar tenants.

In the future, occupiers will embrace spaces and programs that support onboarding, ongoing learning and development and in-person mentorship. C&W says occupiers will also tap into skill sets usually found in hospitality and retail settings with “community managers.” These people will foster human connection, reinforce corporate culture and support employee productivity.

Health concerns around COVID have made it difficult for employees who rely on public transportation to get work. C&W says landlords and employers have an opportunity to consider how to support the safe transition of workers from home, such as how tech companies transport workers to their Silicon Valley campuses. Long-term, it says that locations that provide a variety of transportation options will have an advantage.

C&W says companies may also look to find dedicated “third places” for employees to work that provide the social and mental health benefits, whether they are “outdoor offices,” satellite locations or coworking spaces.

The hub and spoke model has been gaining momentum as a way to provide employees these “third places.”

“We believe that in certain urban metros, a Hub and Spoke model is one tactic that can truly act as a strategic differentiator,” Elisa Konik, managing director who leads the Cushman & Wakefield, told GlobeSt.com in an earlier interview. “While distributed working is here to stay, many employers still see incredible long-term value in bringing colleagues together in person. Employers that can strike a careful balance, appreciating the evolving needs of their workforce and meeting the moment, will find themselves as the top employers of choice.”

https://www.globest.com/2020/08/12/hub-and-spoke-model-looks-to-confront-changing-workplace-dynamics/