The office sector is fast evolving and flexibility and wellbeing are becoming the key words for developers and landlords alike, experts agreed at the PropertyEU European Office Investment Briefing, which was held at EXPO REAL on Thursday.
‘We are hearing the voice of the end-user now, which is new, and designing and developing offices with the tenants’ needs in mind,’ said Zinaida Vojnar, international business development director, HB Reavis. ‘There is a need for flexibility and a demand for shorter leases.’
Many start-ups and tech companies cannot plan or commit two or five years in advance, so shorter leases are likely to become the norm, while all companies demand more shared spaces, communal areas and meeting rooms.
Good design and healthy buildings in a good urban context are a positive not just for the tenant but for investors as well, said John Mulqueen, head of transactions EMEA, CBRE Global Investors: ‘You cannot control the cycle but you can control the quality of the product, and a good product is a very valuable asset for investors.’
Investors who can navigate the changes will reap the rewards, he said, because prospects are positive for the office sector, especially in Continental Europe: ‘The macroeconomic backdrop is strong, and the development pipeline has not responded in time, so there is a clear demand/supply imbalance.’
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Zinaida Vojnar, international business development director, HB Reavis also spoke to PropertyEU TV about the need for innovation in office development.
