The office is dead, "The Office" is not dead
Caleb Parker
CEO at Brave Corp | Maximizing Office Asset Values | Repositioning Office Real Estate | Award-Winning Podcast Host | Subscribe to my newsletter/podcast at the link below????
The hotelification of workspace
Season 2, Episode 10 (Season Finale) of the #WorkBold podcast...
"We’re going to see the unbundling of the office, and the hotelification of workspace"
?Tushar Agarwal, Co-Founder & CEO of HubbleHQ, the leading online marketplace for finding and renting office space in London joins Bold Founder, Caleb Parker, to talk about the changing demands for the office.
Tushar shares why the traditional office is dead using data to back up his claim, and explains how landlords should respond.
The discussion covers how remote work going mainstream has created a new type of demand for the hotelification of workspace, a potential new model of CRE management services that is similar to corporate travel agents, and why brand has never been more important in commercial real estate.
Connect with Tushar on Twitter | Connect with Caleb on Twitter
Value Bombs and tweetables
- The office as we know it is dead
- Over the last 2-4 years we’ve seen a shift in the market towards Space-as-a-Service
- Small businesses and large corporates who used to sign 5 year leases are now looking for managed solutions
- Average transaction size has gone from 3 people for 3 months to 20-30 people for 1 year
- Office search enquiries picked up 75% in May and June
- New demand is for a hybrid office solution
- Central HQ’s are still in demand, but with a smaller footprint
- 70% of people love working from home, but also want an office of some sort
- 41% of people want a quiet place to do focused work outside of their home
- The office of the future is solutions based
- People need choice
- There’s a difference between the “In-Covid†office and the “Post-Covid†office
- We’re going to see the unbundling of the office, and the hotelification of workspace
- When landlords and operators are making expensive decisions on how to design spaces, analysing multiple data points can help identify customer demand
- Enquiry to transaction data and list price to deal price is important to understand what customers want and are willing to pay
- If landlords want control of the future they will need to embrace Space-as-a-Service
- So we’ll see more landlords understand and respond to Space-as-a-Service as something that’s going to become mainstream
- Flexibility is needed but service is imperative to protect building valuations
- With Space-as-a-Service, creating a predictable experience that comes with a brand is what keeps paying customers in a building, not long leases.
- Generic spaces lack brand loyalty, consistency and a network effect.
- Specific brands add layers of service, attract the right mix of customers, and create new revenue lines.
- Selecting the right brand solution adds tremendous value by delivering a predictable customer experience, making the building attractive, and increasing asset value.
- To manage risk, many landlords will outsource hospitality and management to experienced Space-as-a-Service operators
Resources
Hubble's 'Should we ditch the office?' Survey results
Blog on the consumerization of commercial real estate
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About Tushar Agarwal
Tushar is Cofounder & CEO of HubbleHQ, the leading online marketplace for finding and renting office space in London for fast growing companies and flexspace operators and landlords.
Tushar studied Economics at LSE (The London School of Economics) and spent 2 years working in investment banking before launching HubbleHQ back in 2014. He was Amazon's Young Entrepreneur of the Year Finalist in 2019.
He has led Hubble’s growth as they have gone on to raise ￡6.4 million over three rounds, from the likes JLL, Pi Labs run by famous PropTech investor Faisal Butt, Downing Ventures, Starwood Capital and Concrete.
Just to list a few of Hubble’s accolades, they are Deloitte's 26th Fastest Growing Technology Company in the United Kingdom, Property Week's ‘Proptech Innovator of the Year’ 2019, and last year they were voted as one of the ‘Best Places to Work in Property’ for a second year running.
Caleb & Tushar at the London School of Economics for the 2015 Coworking London Conference
If you have any questions or feedback on this episode, email podcast@workbold.co
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Je suis un épicurien, connaisseur de bons vins, gourmet, cigare aficionado, collectionneur de livres, voyageur du monde et baigneur de soleil. La mer a bercé mon c?ur pour la vie. Et Dieu a créé Dalida.
4 å¹´Are you ready to turn empty Highstreet shops into business centers / coworking facilities?
Sales Representative Orthopedic Instruments |
4 å¹´Really enjoyed this. I agree people need choice. One of the biggest things to come out of Covid will be option-ality! Employees want options. "70% of people enjoy working from home, but still want an office to go to". Employees not employers will drive the demand for space in the future.
The Future of Work needs better ideas. I’m trying…
4 å¹´Absolutely loved this one. I admire you Tushar for building a marketplace and removing so much of the friction that exists for transacting on office space!
Vice President at Cushman & Wakefield Waterloo Region Ltd., Brokerage
4 å¹´Really enjoyed this episode!