The pandemic has significantly changed the way that people work, and undoubtedly, the workplace will have to change—but landlords are not pivoting as fast as they need to. Or, at least that is the results of a recent survey from essensys and compiled by Verdantix. The report shows that only 13% of occupiers believe that commercial real estate owners are prepared to meet new tenant needs.

Flexible workplaces are among the top demand, and Jeremy Bernard, CEO North America at essensys, says that landlords need to start offering more leasing models. "Landlords need to provide a variety of lease and term options to tenants across their portfolio," Bernard tells GlobeSt.com. "The reality, particularly in urban core markets, is that vacancy is at historical highs. Landlords are more likely to lease space on flexible terms than in a traditional model. Some rent even on shorter flexible lease terms is better than zero rent on longer lease terms. There's no certainty of income when you have vacant space."

Landlords are catching on. According to the survey, 67% of landlords listed flexible leases as a way to increase revenue. In addition to flexibility, tenants want also services, amenities, tech-enabled workspaces and a network of locations. Bernard calls all of these features critical. "It's about providing trust and confidence in the return to the office for the immediate future," adds Bernard. "But landlords need to position their portfolio now for the long-term to continue serving their tenants' evolving real estate needs. It's the only way they can stay relevant and drive revenues."