Tech leads charge in Austin office return

Texas capital city tops national average

(iStock)
(iStock)

As the office market continues to struggle in many places due to pandemic fallout, Austin’s workers don’t seem to fear the reaper when it comes to returning to the workplace.

Tech companies play a big role in steering that return, the Austin Business Journal reported. Based on a Kastle Systems report that 54 percent of offices in the Austin metro were occupied — the average in 10 major U.S. cities is 38 percent — it checked in with some tech firms about how they’re managing the return and the role they’re playing in the comeback.

Homegrown Dell, which reopened on March 7 for voluntary return, said it emphasizes an “outcomes-based workplace model” and that employees can continue to work remotely or in the office, depending on what “best fits their lifestyle.” Apple directed workers to return to its campuses and other offices at least once a week, starting April 11, according to a recent Bloomberg story. On May 23, it will start increasing the requirement to three days per week: Mondays, Tuesdays and Thursdays.

Amazon said its team directors would make the decisions. New Amazon office workers are expected to populate its Domain offices in high numbers. IBM offices reopened March 1, also on a voluntary basis, for fully vaccinated employees but hasn’t announced plans beyond that.

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Google, which occupies a lot of downtown Austin office space and will move into a new landmark building under construction, will adopt a hybrid model in early April. Facebook parent company Meta has opened its offices at 50 percent of capacity and plans to reopen fully March 28. The company will continue to have a flexible, hybrid approach to workers’ return, including a program that allows extension of remote work for those who don’t feel ready to go back to the office.

Meanwhile, there’s been little slowdown in the frantic pace of new office development in the city. New downtown developments in that arena include a high-rise by Cielo and a 58-story tower courtesy of Tishman Speyer and Ryan. Meanwhile, Meta signed a lease for 33 floors in Austin’s tallest building downtown. Domain-area developments include One Uptown, which will have a 14-story office building, and a 19-story office tower developed by Kilroy. Amazon occupies several office buildings in the area and just leased another late last year. Tishman Speyer also just bought two office buildings in the north Austin area.

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[ABJ] — Cindy Widner