Part 1 of 2
SEATTLE—“Seattle, like many other hubs of innovation, is experiencing a change in the location, design and programming of urban office space. This is prompting development companies and property owners to consider innovative means to maintain demand.” That is according to Tom Woodworth, principal of Trammell Crow Co.'s Seattle business unit.
Woodworth tells GlobeSt.com that driven by a change in worker demographics and employers' objective to maximize efficiency of occupied space, health and well-being of their people, these elements are re-defining where buildings are situated and building design.
Labor force age demographics are shifting, with Millennials expanding while, simultaneously, Baby Boomers contracting, he says. “The next decade will see a majority of Baby Boomers retiring and the employee count replenished by the millennial generation, coming into full employment age. Estimates forecast Millennials to comprise of 75% of the workforce by 2025.”
According to Woodworth, this change in workforce composition is altering how large and small enterprises conduct their business operations and how their offices are constructed. “The Baby Boomers are characterized as: leader-oriented, lived to work, defined by their occupation and earning a private office in their workplace, and had a 'do whatever it takes' attitude towards business goals. This contrasts with the Millennial demographic, who still has optimal performance in mind, and is described as: connected 24/7, work anywhere attitude, team-orientated, and globally connected. These differences continue to transform where and how the Millennial-lead workforce will participate in business, shaping the definition of desired office design across every sector of the economy.”
Millennials 24/7 connection to their company suggests the 9:00 to 5:00 work day is becoming outdated, Woodworth says. “Tremendous value is placed on an atmosphere with physical adjacency to live, work and play, enabling the ability to freely move between the office, home and social activities. The idea of an after dinner team meeting at the office is not foreign to Millennials as it has been in previous decades. Their inclination towards collaboration underscores the importance of closely linking all facets of their lives in a convenient location as they transition from one aspect of their day to the next.”
Placing a company in middle of a thriving mixed-use neighborhood significantly reduces friction when transitioning to and from live, work and play events, he explains. “Seattle-area tenants leading this trend include: Amazon.com, Microsoft, Expedia.com, Zillow.com, Facebook, RBC Wealth Management, KPMG, and Accenture.”
Two projects under construction, that factor these influencers to build timeless properties, designed for long-term demand, are 929 Office Tower in the Bellevue CBD and Midtown21 Office Tower in Seattle's Denny Triangle. Each building is located at the confluence where office, retail, hospitality, and urban living merge to create thriving mixed-use neighborhoods.
“In addition to the location preferences, we see employers re-tooling the design of their space to encourage the teamwork preferences in the shifting workforce. Many of Seattle's enterprises are de-emphasizing the traditional hard-walled private office in favor of flexible spaces.”
Check back with GlobeSt.com in the next day or so for more from Woodworth on collaborative workspace and what drives it in the Seattle market.
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Natalie Dolce
Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.
