The sector is now at a major inflection point as occupancy rates started to rise.
Over the past year, my firm and others have committed hundreds of billions of dollars to acquire office properties across the country. In years and decades past, these deals would have hardly raised an eyebrow—the office sector has been a stalwart of the commercial real estate industry, with urban trophy assets virtually guaranteed to generate steady returns for skilled investors.
Yet since the onset of the pandemic, even the most high-profile assets in economically thriving, fast-growing cities are plagued by a cloud of uncertainty hanging over the office sector. To the untrained eye, that may be understandable, as the rise of remote work and enduring behavioral changes among workers have left the sector irrevocably altered.
RSK: This is more about what workers want than investors. But, if you can satisfy employees major needs you may have something. I believe day care is more important than having a bank or cafe in the building. Subsidizing day care would be a great option to bring people back to work and fill your office building.
- - Volume: 10 - WEEK: 17 Date: 4/19/2022 6:20:24 AM -