Positive sentiment returns to European flexible office market
Positive sentiment towards to European flexible offices has increased according to Workthere with data from the flexible office specialist showing that 54 per cent of providers are optimistic or very optimistic about the next three months, rising to 95 per cent for the next 12 months.
This is in comparison to 47 per cent and 81 per cent respectively in October 2020.
Simultaneously, the survey also indicates a drop in the number of requests for rent relief – this figure has dropped to 11 per cent which is almost half of what it was this time last year (20 per cent).
Ed Bouterse, Head of Workthere, Europe, says: “It’s incredibly encouraging to see that sentiment amongst flexible office providers is improving month-on-month. Despite various lockdowns still in place across Europe, the vaccination roll out is promising an end to the pandemic sooner rather than later and, as such, it seems that providers and occupiers alike are looking towards a return to the office before the end of the year.”
The survey shows that demand from companies for suburban office space has dropped to 8 per cent this March compared to 29 per cent in October, hinting that many members of flexible office space are intent on returning to their usual city-centre locations once a return to the office is safe. Conversely, demand for swing space has increased over this time period from 13 per cent to 19 per cent.
Daniel Jones, global research analyst, Workthere, adds: “Our results point to the fact that many users are looking to return to city-centre locations once lockdown ends; this is a clear indication that urban locations will still be popular in life after the pandemic. One reason for this could be that people are keen to reinstate a clear divide between work and home life with the last year blurring the lines between the two.”
Workthere’s data also suggests that occupancy at the end of the month is set to rise to 77 per cent compared to 88 per cent pre-pandemic.