2022 Flex Office Changing Workplace

Sudden Decline of In-Office Attendance 2020: A Perfect Storm of Negative Effects for Flex Office Demand

Short-Term Challenges • Health concerns sent majority of office workers home to work remotely. Almost immediate drop in U.S. office usage to 15% of pre-pandemic norm. • Government restrictions reduced activity in city centers and common spaces where significant portion of flexible office inventory is located (e.g., London and New York). • Pre-pandemic coworking space models not conducive social distancing. • Office usage is improving post-Delta at a steady, if measured, pace. Global office usage remains inconsistent, with Greater China above 90% of workers in the office, while other countries continue to lag well below 30%.

% at Office (U.S.)

100

80

60

36

40

27

20

15

0

Source: Kastle Access Control System, https://www.kastle.com/safety-wellness/getting-america-back-to-work/#. Accessed October 13, 2021.