Comparison of Business Trends

The pandemic has completely modified how and where we work, forcing companies to be
greater flexible and to imbibe modern approaches of working. As groups, are trying to find to
return to some structure of pre-Covid buoyancy and start to assume about the right mix of work-
from-home and work-from-office, they cannot simply return to their former places of work
without reimagining the experience in its entirety for employees. At some point, companies will
have to go back to their office and collaborate physically.

Post Covid Market for office spaces in India:

Compact workplace demand increasing in post-COVID scenario:
As the population in newer areas have grown, industrial and workplace space has turned out to
be essential. Following residential acceptance, workplace areas are gaining traction; the demand
has grown as office areas in many areas are nearly full and do not meet cutting-edge demands for
ultra-tech and swanky offices. Demand is increasing, now not simply for larger spaces, but
additionally for compact spaces that meet the wants of smaller businesses. The places have been
able to make a point due to the fact of the extended connectivity in the ultimate few years thanks
to a lot of infrastructural developments.
Overall, the office real estate market is thriving, with demand for Grade A office space
skyrocketing and vacancy rates in prime areas falling. The demand metrics for the workplace
leasing section of the commercial real estate market had remained stable. After COVID, many
organizations decided to distribute a number of personnel in one workplace to many offices,
which has helped them expand their reach. Although some large-scale leasing deals have been
announced, the volumes may also no longer be sufficient to cover the rise in completed stock
from the large organized developers. Nonetheless, long-term demand possibilities for the sector
appear favorable, given that Covid-19 has had no material market effect on the massive occupier
base in such properties. With so many infrastructures deliberate and so many people moving to
these areas, compact commercial office real estate is anticipated to expand by leaps and bounds.
The rentals for office spaces are in the range of Rs 40-75 per sqft relying on the size & location.
In 2021, net absorption is likely to hover around 32-35 mn sq ft. This will be at par with the
annual net absorption levels seen during 2016-2018.

New age re-focusing on the conscious workplace:

Following the pandemic, new considerations have come to light. The future of work will be new:
environment-friendly, technologically-advanced and inclusive.

Businesses are being advised to transfer physical records that dominate the workspace onto a
digital cloud and rethink furniture that can prevent safe social distancing. Businesses need to
apply design thinking into their daily operations to build a great working environment and
connect office design to brand. Using new technologies to facilitate social-distancing will be one
of the key goals for organizations rethinking their workspace design. Inclusivity for instance,
through induction of differently abled workforce and providing a safe atmosphere for them to
function at par with their colleagues leads to higher performance and can help businesses achieve
higher outcomes. The scope for developers is therefore to make infrastructure investments in
workplaces to make them inclusive and accessible to all. In conclusion, it is fair to say that the
focus will shift to creating an experience for personnel with safety, and health in mind even as
co-working becomes a defining trend in office spaces.

Post Covid Market for office spaces in United States:

Companies looking for offices in large U.S. cities are seeking less
space but longer terms:
One year after many office workers were sent home due to the Covid pandemic, executives face
big questions about how much space is really needed. Most executives agree there are
advantages to each working in an office and working from home. Office landlords are hoping to
see vacancies dwindle and leasing transactions pick back up. They are touting the office as a
collaborative space that boosts productivity.  The upheaval in commercial real estate allows
companies to be pickier about their needs
Big companies are making plans to stick with city-center office buildings, but they are cutting
back on space and driving down rent prices for years to come.
The terms under negotiation show landlords are offering long-term leases of four and more years
at discounts up to 13% below rent rates reached in the first quarter of 2020 when factoring in
concessions like periods of free rent, according to VTS. Companies are also seeking on average
about 10% less space than they were looking for in the first quarter of 2020. And yet the office
is not entirely going away. In fact, it might be more needed than ever as companies pivot
to new realities and forge bonds among a workforce.

The office of the future is a much more flexible place :

Even before COVID, companies were loath to sign long-term leases in order to maintain
flexibility in hiring and firing. This will continue or increase.  The practice of social
distancing has kept the desire for office space—13,000 square feet being the average size
sought.
People need to feel healthy and safe, and that these are environmentally healthy and not
just energy efficient green buildings. That includes, cleaning protocols, upgraded  air
filters and filtration systems, occupancy maximums on elevators and directional signage
within common areas and office spaces.
Post-pandemic offices will focus more singularly on creating and representing the culture
of a company. That mission will drive physical spaces with more breakout rooms and
gathering spots. It will dictate who comes to the office and why. Reasons to convene:
onboarding, training, meetings, team-building and collaboration.  
In conclusion, we can say that Covid changed how we think of offices. Now companies want
their spaces to work as hard as they do.