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
    Jake’s 58 (Google Maps, iStock)
    Suffolk OTB to acquire Jake’s 58 in $120M deal
    Suffolk OTB to acquire Jake’s 58 in $120M deal
    4 Park Avenue (Feil Organization)
    With 30K-sf lease, SUNY Empire shrinks Manhattan footprint
    With 30K-sf lease, SUNY Empire shrinks Manhattan footprint
    604 Fifth Avenue and Minamoto Kitchoan president Kemmei Okada (Photos via Google Maps, Minamoto Kitchoan)
    Fifth Avenue’s Childs Building sells for $45M
    Fifth Avenue’s Childs Building sells for $45M
    The Watson Hotel at 440 West 57th Street (Google Maps)
    Developers already eyeing commercial-to-resi conversions
    Developers already eyeing commercial-to-resi conversions
    (Getty)
    Different state, same problem: Office availbility soars in NJ
    Different state, same problem: Office availbility soars in NJ
    (iStock)
    Homebuilder sentiment ticks up in April
    Homebuilder sentiment ticks up in April
    Brian Feil of the Feil Organization and 360-370 Fulton Street (Google Maps)
    Feil Organization to buy Downtown Brooklyn development portfolio
    Feil Organization to buy Downtown Brooklyn development portfolio
    Photo illustration of Brookfield Property Partners’ Brian Kingston (Brookfield, iStock)
    Struggling hotel company handing Brookfield the keys
    Struggling hotel company handing Brookfield the keys
    arrow_forward_ios

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

    Loading...