The office space downsizing trend may be past its peak, according to a CBRE survey of 225 companies with offices in the U.S., Canada, and Latin America.
Just 37% of companies plan to shrink their office space this year compared to 57% last year, the survey found. In addition, more companies plan to expand their office space over the next several years with 38% planning to do so, compared to 20% a year ago.
Some companies may have trimmed too much space in recent years, CBRE says.
“An 18-percentage-point, year-over-year increase in companies anticipating expansion of their office footprints is a significant step toward a return to growth,” says Manish Kashyap, CBRE Global President of Advisory & Transaction Services. “It bodes well for a U.S. office market, which has faced many challenges in recent years. There remains a segment of demand where companies are opting to renew their leases to forego the costs of moving, but there is now a change in sentiment favoring expansion.”
Most companies say office attendance is holding steady. Companies looking to relocate are interested in upgraded space, such as a better location, better quality space or improved employee experience.
Related Stories
| Oct 9, 2014
Regulations, demand will accelerate revenue from zero energy buildings, according to study
A new study by Navigant Research projects that public- and private-sector efforts to lower the carbon footprint of new and renovated commercial and residential structures will boost the annual revenue generated by commercial and residential zero energy buildings over the next 20 years by 122.5%, to $1.4 trillion.
Sponsored | | Oct 7, 2014
Boost efficiency with advanced framing
As architects continue to search for ways to improve building efficiencies, more and more are turning to advanced framing methods, particularly for multifamily and light commercial projects.
| Oct 6, 2014
Houston's office construction is soaring
Houston has 19 million square feet of office space under construction, 54% more than a year ago, and its highest level since the booming 1980s, according to local news reports.
| Oct 2, 2014
Budget busters: Report details 24 of the world's most obscenely over-budget construction projects
Montreal's Olympic Stadium and the Sydney Opera House are among the landmark projects to bust their budgets, according to a new interactive graph by Podio.
| Sep 30, 2014
With its 'stacked volumes' scheme, 3XN wins bid to design high-rise in Sydney
By dividing the 200-meter building into five separate volumes and placing atria throughout each volume, the spaces become smaller, more intimate social environments, according to the Danish architects.
Sponsored | | Sep 25, 2014
Architects transform warehouse into office space while preserving its historic nature
When it came time for CSHQA, an award-winning, full-service architecture and engineering firm, to move office locations, they didn’t need to look far. The 20,000-square-foot warehouse was not only a mere three blocks away, its renovation would be an ideal demonstration piece to show existing and potential clients.
| Sep 25, 2014
Look to history warily when gauging where the construction industry may be headed
Precedents and patterns may not tell you all that much about future spending or demand.
| Sep 24, 2014
Architecture billings see continued strength, led by institutional sector
On the heels of recording its strongest pace of growth since 2007, there continues to be an increasing level of demand for design services signaled in the latest Architecture Billings Index.
| Sep 23, 2014
Cloud-shaped skyscraper complex wins Shenzhen Bay Super City design competition
Forget the cubist, clinical, glass and concrete jungle of today's financial districts. Shenzhen's new plan features a complex of cloud-shaped skyscrapers connected to one another with sloping bridges.
| Sep 23, 2014
Designing with Water: Report analyzes ways coastal cities can cope with flooding
The report contains 12 case studies of cities around the world that have applied advanced flood management techniques.