The COVID-19 pandemic has undoubtedly come to stay. However, altering the office space to meet the attendant protocols by corporate organisations has also become a norm.
Research into the office segment of the real estate market suggests that refitting and reimagining office spaces are on the radar.
JLL's' South Africa Q2 2021 Real Estate Market’report noted that "the case for repurposing and refitting old vacant office space is still strong. However, traditional residential conversions in commercial nodes may be less viable than in the past, given the shift in demographic demand dynamics."
By this, landlords look to provide a competitive and attractive product in the market, retaining existing and/or attracting new tenants. The report observed that "although there has been a significant shift in corporate downscaling and consolidating, relocation fit-out requirements continue to prove unaffordable for many."
This repurposing and reimagining are in response to corporate migration on the surge coupled with meeting the socio-economic needs of the residents. Corporates’ appetite for productive, safe, and employee-focused workspaces continues to grow. The team urged office landlords to be proactive in responding to the changing needs of the dynamic market.
"Critically, landlords and developers need to proactively identify the best-fit repurposing models, appropriately respond to corporate migration trends and the socio-economic needs of residents in the area," the report concluded.
Source: Mohammed Bomanso Issah(Real Estate Times Africa)