_Office: The Rise of the Experiential Workplace
Occupier expectations of the workplace have continued to evolve as the desire to provide employees with a rounded experience grows.
Occupiers increasingly expect a curated, ever-changing and hands on approach from building owners to provide experiences and opportunities for building occupants. This ongoing programme and relationship is very different from providing static space, no matter how well designed.
Moving forward, landlords, particularly those who have substantial adjoining assets, will increasingly take a lead from major tech and innovation campuses by creating interconnected neighbourhoods or precincts that provide the opportunity for dining, entertainment, retail, education, networking, allied services and wellness.
Scheduled events, drawcard venues and a sense of vibrancy that comes from being among likeminded people from not only within the same company or industry creates a sense of community. This is the new ‘bump factor’, not just within one business, but on a wider industry, interests and city level.
The shared space and aligned food and beverage offer for office assets is being extended through the evolution of co-working and ‘club’ tenants such as Soho House and 1880 which lease space and also provide a curated service to the building exclusively for members and tenants.
Already retreating before the pandemic, the trend of a cavernous, silent, stone façade lobby is being replaced by the polar opposite – a more lively, vibrant and inviting space to mix, mingle and work. The ubiquitous lobby coffee shop is moving from the back corner to a central position and increasingly will be required to provide an all-day schedule from breakfast through to post-work drinks.
Dock72 in Brooklyn is a recent overseas example of an asset that has been heavily-amenitised, partly to counteract its pioneering location, with a rooftop conference centre, podium level tenant lounge/meeting rooms, wellness centre and an outdoor terrace with basketball court, curated by WeWork, a foundation tenant in the building.
Experience is not just the responsibility of the landlord, and tenants are bringing similar ideas to their own space. An emerging trend is the demand for ultimate flexibility achieved through an adaptable workplace. This requires flexible fitouts which can easily be reconfigured quickly as needed through the creation and breaking down of specific project spaces as required across the entire workplace. Treating some walls like furniture and allowing for such adaptation also has an environmental benefit of re-use rather than demolition if a layout no longer suits the tenant’s needs.
Recent examples include Mirvac’s piloting of fully moveable desk layouts at its Sydney HQ and Macquarie’s aspiration to employ flexible project-based layouts at 1 Elizabeth St, Sydney.
Keen to learn more? You can check out the Top Ten Insights from our Outlook Report 2023 or read the report in full via the links below:
For more information, please reach out to the team:
Ben Burston
Chief Economist
+61 2 9036 6756
ben.burston@au.knightfrank.com
Michelle Ciesielski
Partner, Head of Residential Research
+61 2 9036 6659
michelle.ciesielski@au.knightfrank.com
Jennelle Wilson
Partner, Research
+61 7 3246 8830
jennelle.wilson@au.knightfrank.com
Lawson Katiza