Commercial real estate is constantly being shaped by the latest trends. It seems like standards are always changing and tenant demands are frequently shifting.
This can make it difficult for CRE professionals to plan their long-term strategies. While CRE is an industry that requires everyone to stay on their toes, a solid outlook is always needed to remain strong.
One such example of an industry-shaking trend is flex-space. This CRE development has proved itself to be a lasting element of the business, but it’s still expected to undergo some changes in the future.
Let’s take a look at what’s happening in flex-space and how it’s expected to pan out over the next decade.
Contemporary Lifestyles Demand Flexible Options
Today’s world is pushing the boundaries on all fronts. Industries are blending, tenant demands are overlapping, and it seems like nearly every aspect of business is becoming less rigid than ever before.
As the walls continue to come down, the only thing that’s looking solid is flexibility.
The capacity for change and development are basic requirements for the entirety of commercial real estate. Whether it’s interior designs or technical integrations, today’s industry needs to keep an open mind. Or, CRE professionals will risk being perceived as outdated and thus being outdone by flexible competitors.
When establishing long term goals, make sure to account for CRE’s flexible spaces.
Consider Flexible Amenities
It’s not just the physical spaces that are becoming more flexible – it’s amenities, too. The 2020s will usher in the new trend of flexible amenities. CRE can prepare by getting ahead of the game and consider how this can be applied to professional portfolios.
Marketing flexible amenities will play a big role in attracting contemporary tenants in 2020.
Leaving Room for Resizing
One of the greatest benefits associated with flex-space is its ability to accommodate tenants changing needs – especially when it comes to resizing. Re-sizing is a typical part of business strategies and it’s imperative in keeping up with the constantly-changing forecasts.
When entering into CRE deals in 2020 and beyond, always give your clients room to adjust as needed.
Hospitality Hits the Scene
Hospitality is gaining prominence in nearly every commercial sector – especially within the office.
2020’s CRE industry will be expanding its application of hospitality and wellness amenities as they offer tenants greater luxury and value. Whether it’s in the office or retail space, don’t forget to harness the power of hospitality-based amenities.
Handle Projects on an Individualized Basis
No two CRE tenants will have the same needs. This is becoming more and more true as we move into the 2020s. As businesses strive to set themselves apart from competitors and elevate their value propositions, they’ll be taking a creative and out-of-the-box approach to business.
That said, CRE pros should tackle each deal with a specialized and unique mindset. Be open to applying the flex-space model to all of your transactions – not just within the office sector. Retail, entertainment, and even industrial are expected to start adopting the flex-space model alongside CRE’s office sector.
Use these winning insights to hone in on commercial flex-space strategies and boost business in the 2020s.