Workspace records office demand running at pre-Covid levels, as employers eye flexible space
Workspace has a number of office buildings in London
/ Workspaceorkspace has reported occupier demand running at pre-Covid levels, and its boss thinks the office landlord has come through the worst of the pandemic.
The FTSE 250 firm which offers flexible leases, often to SMEs and startups, has seen improved demand at a time when numerous employers are looking at space for hybrid working plans.
The company recorded an average 947 enquiries per month in the quarter to June, up from 506 a year earlier when working from home was in full swing during the crisis. Some 125 lettings per month were agreed, compared with 43.
Graham Clemett, chief executive of Workspace, which has around 60 sites in the capital, said: "Our first quarter performance reinforces our confidence that we have come through the worst of the pandemic and are now on a clear positive trajectory.”
He added: “Whilst we expect a degree of uncertainty to remain in the near-term, we are seeing strong signs that London's businesses are returning to work and are optimistic about the future.”
Although working from home guidance has lifted, a number of firms are still offering remote working options amid ongoing concerns about the virus and after being impressed at how well staff adapted to working away from offices.
While some employers may look to reduce office sizes or exit some sites, a number of businesses have said they plan to offer a mix of home and office hours in the future. That could boost demand for flexible workspace.
Clemett said: “We are well positioned to capture the significant growth opportunities in front of us as the market demand for office space continues to shift towards a combination of flexibility, quality and sustainability.”
Mike Prew, analyst at Jefferies, said: “Although disruption could continue from the Covid delta variant, WKP’s occupational signs look encouraging.”