A new report suggests the office real estate sector, especially in gateway cities like New York, San Francisco and Washington, DC, will feel the pain for years from the pandemic-led work from home trend.
"The notion that a well-located office building full of highly paid workers in or near a dense, expensive city is the best way to operate a successful firm has been challenged by the acceptance of remote work," said the report by Green Street Advisors, a real estate research company. "Coupled with an increase in individuals who no longer regularly go into the office, many more may consider moving further away from coastal city centers."
Overall, the need for office space will decline by 10-15% because so many people are working from home, and the trend could become a permanent employment benefit after the pandemic has passed, wrote Danny Ismail, lead office analyst of Green Street.
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Angela Morris
Angela Morris is ALM Media's Texas litigation reporter. She covers lawsuits in all levels of Texas state and federal courts. Based in Austin, Morris earned journalism and government degrees from the University of Texas at Austin in 2006, and since then, has worked primarily as a reporter and writer, but also has skills in videography, photography and podcasts. Follow her on Twitter at @AMorrisReports.
