Share: Share on Facebook Share on Twitter Share on LinkedIn I recommend visiting cushmanwakefield.com to read:%0A%0A {0} %0A%0A {1}

Cushman & Wakefield Releases 2020 Global Office Impact Study

30/09/2020

Study predicts office sector recovery to be slow, but full recovery expected despite work-from-home trend 

Cushman & Wakefield (NYSE: CWK), a leading global real estate services firm, today released its first-ever Global Office Impact Study, projecting that the world’s office leasing fundamentals will be significantly impacted by the COVID-19 recession and the work-from-home trend, but they will ultimately begin to improve in 2022 and will fully recover 2-3 years later. The full recovery timeline is consistent with what was observed during the Great Recession, but at a slight lag due to the work-from-home trend. The report was developed by the firm’s newly organized Global Think Tank, a team of senior researchers and economists from around the world. The study analyzed the cyclical and structural changes impacting the global office market and the implications for recovery.

“We set out to answer the foundational and somewhat ambiguous question of ‘what will become of the office’ by taking a deep, scientific look at the forces created by this pandemic and the cumulative impacts on office sector fundamentals,” said Kevin Thorpe, Cushman & Wakefield's Chief Economist and Global Head of Research. “We’ve examined the collective impact of these forces, including job losses, office vacancy and rental rates, geographic characteristics, and work-from-home expansion, to establish future-looking scenarios that, under our base case, ultimately project a full global office market recovery. Of course, all real estate is intensely local, and not every local market will follow the same path to recovery.”

Key findings from the 2020 Global Office Impact Study are concentrated on the full economic and employment recovery anticipated for Q1, 2022, and the corresponding demand for office space as vacancies begin trending downwards and rental rates begin appreciating. By 2025, global office vacancy is anticipated to return to pre-crisis levels of approximately 11%, with rents returning to pre-crisis peak levels. 

“Even though the impact of work-from-home trends will slow the office market recovery, the overall growth in office-using job sectors along with many other factors – including agglomeration, culture/branding, and productivity – collectively indicate that the office will continue to play an important role in the economy going forward,” said Rebecca Rockey, Global Head of Forecasting at Cushman & Wakefield. “With this study, we’re looking into an uncertain environment through the lens of evidence, data, and science.”

The 2020 Global Office Impact Study is the first of a four-part series, which will provide a new and thoughtful look into the future of the office, and the role it will play in a post-pandemic environment.

Read the 2020 Global Office Impact Study here.

 -END-

About Cushman & Wakefield

Cushman & Wakefield (NYSE: CWK) is a leading global real estate services firm that delivers exceptional value for real estate occupiers and owners. Cushman & Wakefield is among the largest real estate services firms with approximately 53,000 employees in 400 offices and 60 countries. In 2019, the firm had revenue of $8.8 billion across core services of property, facilities and project management, leasing, capital markets, valuation and other services. To learn more, visit www.cushmanwakefield.com or follow @CushWake on Twitter.

 

RELATED INSIGHTS

APAC Marketbeat
MarketBeat • Insights

Japan MarketBeat

Cushman & Wakefield MarketBeat reports analyze quarterly economic and commercial real estate activity including supply, demand and pricing trends at the market and submarket levels.
Hideaki Suzuki • 15/07/2021
tech cities
Research • Economy

Tech Cities: The Global Intersection of Talent and Real Estate

With a significant growth forecast for the global tech sector in the next 10 years, the evolution of tech cities around the world as hubs of tech talent and suitable commercial real estate will continue. In this report we assess how tech cities are competing for business across key talent, real estate, and business environment metrics.
David Smith • 13/09/2022
APAC Capital Flows - Supply Chain Management webinar
Insights • Capital Markets

Cushman & Wakefield Webinar: Asia Pacific Capital Flows - Supply Chain Management

In this webinar, we have invited Kevin Lee, Head of Real Estate Solutions, APAC at DHL Supply Chain and Tim Foster, Head of Supply Chain & Logistics Advisory, APAC at Cushman & Wakefield to share their views on this burning topic.
07/03/2022
With your permission we and our partners would like to use cookies in order to access and record information and process personal data, such as unique identifiers and standard information sent by a device to ensure our website performs as expected, to develop and improve our products, and for advertising and insight purposes.

Alternatively click on More Options and select your preferences before providing or refusing consent. Some processing of your personal data may not require your consent, but you have a right to object to such processing.

You can change your preferences at any time by returning to this site or clicking on Privacy & Cookies.
MORE OPTIONS
AGREE AND CLOSE
These cookies ensure that our website performs as expected,for example website traffic load is balanced across our servers to prevent our website from crashing during particularly high usage.
These cookies allow our website to remember choices you make (such as your user name, language or the region you are in) and provide enhanced features. These cookies do not gather any information about you that could be used for advertising or remember where you have been on the internet.
These cookies allow us to work with our marketing partners to understand which ads or links you have clicked on before arriving on our website or to help us make our advertising more relevant to you.
Agree All
Reject All
SAVE SETTINGS