• While conventional long-term leases remain the norm, office occupiers are increasingly assembling portfolios by picking and choosing options from a broad range of formats such as incubators, coworking, serviced offices and turnkey solutions.
  • However, conducting cost analyses of traditional leases versus flexible space and identifying the option that makes the best financial sense can be problematical. This is because of the many variables involved, such as different pricing structures and the impact of headcount volatility.
  • These considerations pose a headache for occupiers seeking to precisely gauge the true cost of the different types of office space as they aim to build greater resilience into their portfolios.
  • This ViewPoint by CBRE explains the ongoing evolution of occupier space requirements and identifies the challenges - and potential solutions - involved in evaluating the financial suitability of the various types of office space.

 

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