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Cushman & Wakefield
RISKS
01 Market
There is an expectation that Flexible Offices will always
have available space, wherever and whenever the
customer wants it. Since there is so much choice in
the market, if this availability is not provided instantly,
they will move to another provider who can service
their requirements.
02 Operator
Providers have to be cautious not to create too much
supply so that in the event of a down turn, occupiers
can vacate the space immediately leaving them exposed
to higher risk than the conventional office.
03 Tenant
As companies introduce flexible working practices
to their business there is a concern that a physically
disconnected workforce will cause commercial and
cultural challenges. Proximity to colleagues arguably
cultivates more effective and efficient working
relationships. Yahoo CEO Marissa Mayer put an end
to the company’s remote working policy, and has
since argued that workers are ‘more collaborative and
innovative’ when they’re together.
“One of the big challenges we have with our corporate
customers is that we can get them office space pretty much
anywhere in the world but there is always a capacity issue. If
a company wants to take space in London or New York at the
moment, there is not a lot of space available. The confidence in
the Flexible Office market is based on availability of the space
and to have what you need when you need it.”
Ben Munn
, Regus Plc