Return to office policies create real estate cost efficiencies

Office occupancy shoots up after policy implementation before easing back a bit, study shows.

Depending on how a company views its office-space costs, a return to office policy can be an efficient way to go.

While long-term, large-scale telecommuting can allow some companies to shrink their overall real estate footprint, the majority that are returning employees to the office can significantly decrease their per-person costs through higher space utilization.

According to a new report from Density, a supplier of sensors, software and related services for offices, citing data from CoStar, per-employee rent costs in U.S. sub-markets in March 2025 averaged $10,600 for companies that had implemented RTO policies versus $13,500 before implementation.

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Heather: Collaboration is an essential function of many (not all positions). Similar to sales, you can’t plan every revenue source because “magic” happens as you do the right things. Will Mondays and Fridays be wiped off the board? I doubt it but as we know, rules are created top down. Some companies will insist on it and others will see it as an amenity for employees while positively affecting the bottom line. This decision will be influenced by company culture, values, and the bottom line...