More than 1 in 5 company execs plan to slash office space

Survey shows 72% of execs say they plan no change

National /
Mar.March 26, 2021 05:57 PM
21% of company execs say they plan to reduce office space. (Getty)

21% of company execs say they plan to reduce office space. (Getty)

Even as Covid vaccinations bring a return-to-office closer to fruition, more companies are expecting to reduce their real estate footprints.

A recent survey conducted by the American Institute of CPA found that 21 percent of company executives said they expect to reduce their office space in the next 12 months, Bloomberg News reported. That’s up by 3 percentage points from the third quarter of 2020.

Big employers including Dropbox, Zillow and Twitter have already announced that a majority if not all of their workforce can permanently work from home. Other companies have adopted hybrid models, allowing employees to come in at their own discretion.

At the same time, 72 percent of executives said they expect no change in their office footprint, down by 5 percentage points from the third quarter of 2020.

“As the recovery progresses and we move toward the next-normal, more and more people will return to their traditional places of work,” Ash Noah, vice president at the Association of International Certified Professional Accountants, told the publication. “But this doesn’t change the fundamental shifts we’re seeing toward more virtual and remote operations.”

But working from home isn’t for everyone: 7 percent of respondents said they plan to increase office space, up by 2 percentage points from the third quarter of 2020.

There were 693 chief financial officers, controllers, and other senior-level certified public accountants and management accountants surveyed between Feb. 2 and Feb. 24.

[Bloomberg News] — Akiko Matsuda





    Related Articles

    arrow_forward_ios
    Sao Carlos CFO Fabio Itikawa. (Getty, YouTube via Levante Investimentos)
    In pandemic-battered Brazil, 3G Capital founders hunt for real estate deals
    In pandemic-battered Brazil, 3G Capital founders hunt for real estate deals
    Tesla’s Gigafactory (Tesla)
    Over 340M sf of industrial space set for delivery in 2021
    Over 340M sf of industrial space set for delivery in 2021
    JLL CEO Christian Ulbrich. (Getty)
    JLL explores sale of China property management wing
    JLL explores sale of China property management wing
    Dollar General CEO Todd Vasos (Retail Industry Leaders Association, iStock)
    Dollar General thrives amid retail apocalypse
    Dollar General thrives amid retail apocalypse
    Bill Lee (Lee & Associates/YouTube)
    Lee & Associates founder Bill Lee dies
    Lee & Associates founder Bill Lee dies
    The Wonder Wheel in Coney Island (Getty)
    Coney Island Wonder Wheel reopens
    Coney Island Wonder Wheel reopens
    The vacancy rate for regional and superregional malls is at an all-time high.  (Getty)
    Mall vacancy rate hits all-time high
    Mall vacancy rate hits all-time high
    Rudin Management’s Michael Rudin and Industrious’ Justin Stewart with 32 Sixth Avenue in Tribeca (Rudin, Industrious, Google Maps)
    Rudin teams up with Industrious for flex-office play
    Rudin teams up with Industrious for flex-office play
    arrow_forward_ios

    The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

    Loading...