Office Recap 2022: How flexibility and partnership are reshaping the office space

Nicole Ward, ISPT’s General Manager, Office oversees an $11 billion portfolio of office properties nationwide. Nicole reflects on the past year and shares her outlook for the future of office in 2023. ?

How would you describe the Office sector???

It’s no surprise that 2022 was all about the return-to-work conversation. We partnered with so many ISPT customers who are gaining a better understanding of their future office requirements and the role office plays in supporting and amplifying company culture.????

We saw office space utilisation increase significantly in the last few months of 2022, compared to what we experienced since Covid-19 emerged in early 2020. We successfully managed to secure nearly 40,000 sqm of leases, even in a hesitant market, which tells us the office still holds value for business. Office users may be using the space differently, but we’re working with them on what that looks like – now and in the future.? This is an exciting time because it’s really reset the purpose of the office from a place where people come to work, to a place where people come to collaborate and connect. This allows designs to be even more dynamic and collaborative than ever before.?

What are some of the things customers are looking for as they return to offices???

Quality buildings and amenity, a focus on ESG and the ability to deliver experiences through flexible spaces and engaging events and activations. These are the key drivers we’re seeing across the board and the leasing activity across ISPT’s portfolio can be attributed to our ability to meet these needs.??

We know ESG is at the forefront of decision-making for many of our customers and ISPT’s strong commitment to ESG best practice reflects the same values and beliefs. Our willingness to partner with customers to help them meet and even exceed their own corporate ESG goals, inspires confidence in ISPT as a property solutions provider. We’ve demonstrated that we walk our talk for many years now, so these aren’t new concepts for us, they’re a natural part of what we do.??

Flexibility is also important to our customers, whether it’s in their lease contracts or in the provision of truly flexible physical spaces. This is where initiatives like Flex by ISPT really comes into its own, and we’ve got big plans to expand across new locations nationally in the coming year.?

The Flex by ISPT offering allows our customers to have access to truly flexible spaces – meeting rooms, individual or team-based work points, function spaces with access to outdoor terraces, and even an auditorium. There really is something to meet all the needs of ISPT customers and their ability to access this national offering is proving to be invaluable. Flex by ISPT allows teams to travel with confidence, knowing they can continue to work seamlessly in any ISPT-owned property across Australia.????

What’s in store for Office in 2023???

I think the key drivers of building quality, amenity, flexibility, activation and ESG will remain, along with value alignment, particularly in all things ESG. Corporates are wanting to partner with companies who have the same dedication to sustainability and can demonstrate it – not just in what they say, but in what they do. ISPT has always had a strong focus on partnership, so we appreciate the importance of that value alignment piece. There’s been instances where it was the overriding factor in a group’s decision to partner with us, so the importance businesses are placing on value alignment can’t be underestimated.??

Since the start of the pandemic, the relevance of the office has generated enormous conversation and debate. With businesses returning to the office, things have started to become clearer. ISPT plays a fundamental role in facilitating the flexibility we’ve all come to expect from our employers, while at the same time, future proofing it so it’s sustainable.? By providing clarity and direction around what’s possible, we can build a robust work culture together, where working from home and in the office are equally possible in any given week. We’ve seen this with 500 Bourke Street in Melbourne and 477 on Pitt Street in Sydney - with their activated lobbies, appealing outdoor areas and collaborative spaces, these are just two examples of many properties in our portfolio that support this hybrid approach. When it comes to flexibility, our spaces are a positive factor in our customers’ office designs, and we’re in a great position to support customers and co-create flexible spaces that benefit employers and their teams.??

Our partnership ethos and ESG commitments are a big part of what we stand for and believe in, and this resonates strongly with a lot of groups – whether in the corporate space, small business or educational institutions. I’m excited to continue partnering with customers to support their vision and help them achieve their goals, in 2023 and beyond.??