We explore five themes impacting CRE in 2024. By no means an exhaustive list, the impact of these themes will differ between companies, markets, regions and industries.
1. Talent, Productivity and Human Experience (HX)
Employees are not satisfied with their office space, particularly when it comes to personal comfort, ability to focus and experience factors. Employers need to understand where the office is lacking and act fast. Technology and data will help design more impactful workplaces and policies that support wellbeing and performance.
2. Technology
The proptech ecosystem is evolving rapidly and corporate priorities are changing. Firms will drive value through better decision making around portfolios and broader business objective. Firms need to revisit technology strategies and implement resilient operating models.
3. Sustainability
Lease renewals will increasingly be tied to decarbonization commitments. The supply deficit of low carbon space will intensify beyond 2024. Technology and data capture will be key to achieving sustainability goals.
4. Portfolio optimization
Making portfolio decisions is more complex than ever. Few firms have full visibility of the data needed to make informed long-term decisions. Firms will continue to focus on high-quality, sustainable real estate in locations that support their talent needs.
5. Return on Investment (ROI)
Firms need to invest holistically in their people, places, processes, and technologies. Reducing costs will require optimized processes and investment in workplace technology. Corporates that define the optimal mix of these investments will maximize their ROI.