Accelerating the rise of the adaptable office

The growth of the adaptable office is one of the most obvious responses to the growing appetite for flexible working and agile property strategiesThe introduction of the Flexible Working Act is another sign that the concept of the ‘workplace’ has undergone a significant transformation. These shifts in work patterns, office usage and approach are all having dramatic knock-on impacts when it comes to the future of the physical infrastructure of the nation’s office environments, and the investor communities behind them. The growth of the adaptable office is one of the most obvious responses to the growing appetite for flexible working and agile property strategies.

The most obvious influencing factor when it comes to assessing the country’s portfolios of office space is frequency of use. One survey by JLL has found that one third of companies is using co-working spaces to suit the needs of employees with preferences for hybrid working styles, rather than maintaining potentially costly office space which may no longer be occupied at capacity. Globally, the flexible working market is expected to be valued at nearly $100billion by 2030.

But frequently businesses who have freed themselves from lengthy tenancy agreements for dedicated office space find this flexibility comes with compromises – busy shared spaces, noise from other working parties, some days being much busier for ‘collaborative office time’ than others. Now that flexible working is formalised through an Act of Parliament, it looks increasingly unlikely that the old ways of working will come back as the norm, at least for many white-collar employees in the UK. This is placing increasing demands on office space to be able to flex to suit this varied set of users’ needs – including breakout spaces, private areas, and meeting areas which can house more confidential discussions.

There are other factors driving this evolutionary trend, and sustainability is another. We recently conducted research with Proptech Connect, asking a range of those businesses with a stake in the office environment about their priorities when it came to physical working environments. Many cited sustainability as a growing driver from the top down within their organisations, and a direct influence on evolving office life. Increased ESG scrutiny, alongside businesses’ consciousness that their spaces may no longer be inhabited as effectively, is making regular assessment of how workplaces can reduce the bottom line much more common.

There are forces acting to track and understand patterns in office footfall, to optimise energy use and bring bills down, as well as boosting interest in working environments

This means that there are forces acting to track and understand patterns in office footfall, to optimise energy use and bring bills down, as well as boosting interest in working environments which can be easily adapted to a variety of needs, and readapted at short notice should fresh pressures arise. Environmentally friendly materials, energy efficiency and consciousness of the circular economy are all shaping how modern office environments are being designed, fitted out, and continually reappraised.

Foremost in driving the adaptable nature of the office are the property owners themselves, for whom protecting and futureproofing their significant investment portfolios is paramount. Commercial space investment for office use may have been a safe and predictable asset in the past, but now the nation’s back bedrooms are hosting zoom calls. Costar research found last year that over 102 million square feet of office space was standing vacant across the UK, a rise of 60% compared to pre-pandemic times and predicted to rise by another 20% in the next 18 months.

This means that owners are actively seeking to make their portfolios as attractive as possible, and ensuring that spaces can be easily reworked through modular design, and ‘baking in’ co-working space into buildings are becoming more common. Some are even seeing the addition of clauses into fit-out contracts that allow for property to be reworked to suit changing demands of tenants. Some of the people we surveyed predicted that changing trends in office footfall and use could switch every 6-18 months. This automatically means that interiors need to be able to flex accordingly.

All of these factors combine to mean one simple fact – the office landscape around the UK is likely to be in a state of constant flux for the foreseeable future. Change is a constant, and office design will be asked to adapt, and regularly readapt spaces to retain the value of the property itself as well as to ensure its usage is both efficient and green. As recognition of the collaborative value of the office space continues, many work environments will see greater demand for breakout spaces, isolation areas where people can focus, as well as designated private booths and small meeting areas where confidential work can take place away from unwanted ears.

Ultimately, it will be those spaces which balance the communal and the private most effectively which are likely to see the greatest demand. The coming years looks set to bring still more disruption and evolution to working patterns in the UK and globally, and maintaining an adaptable approach will be key to ensuring spaces continue to perform.