A recent study analyzed the impact of remote work on New York City’s commercial office market. It found that office occupancy and lease revenue shifted dramatically over time, and market rents lowered by as much as 28 percent. New York City alone represents 30 percent of the country’s office stock. This trend could continue for some time, and more companies may decide to start working from home. But what exactly is the impact on commercial real estate?
Fortunately, many commercial real estate brokers have taken to Zoom to conduct their showings. They are also offering more flexible lease terms to entice clients, a move they hope will not backfire. Despite a number of recent setbacks, the commercial real estate industry has always bounced back, and the latest blow is the recent pandemic. While this has affected the economy at large, the work-from-home revolution has changed how many New Yorkers live and move in the web series review.
For decades, companies have had to have offices to operate. But forced work-from-home has upended that notion, and some C.F.O.s are crunching the numbers to see how much money they can save on rent. Still, some employees are loath to return to the way it was before. So the future of commercial real estate is uncertain. But now is the right time to invest in commercial real estate.