The big office trend of 2022? Companies are increasingly moving into higher-end and more costly office spaces. It’s a trend showing no signs of slowing in the coming year, according to JLL’s latest Global Premium Rent Office Tracker.
JLL’s Premium Office Rent Tracker ranks occupation costs across 134 major office markets in 116 cities across the globe. The December version of this report found that companies are increasingly seeking out Class-A office space, partly as a way to encourage employees to return to the office.
Because more employees are working at least part of the time from home, companies don’t need as much space. When they make an office move, then, they can afford to spend a higher cost-per-square-foot because they are reducing their overall footprint.
That’s why JLL’s office tracker found that premium office rents grew 4.8% as of this December when compared to the same month a year earlier. The tracker also found that 77% of corporate real estate professionals said that investing in quality space is more important today than increasing space.
Which companies are most likely to move into premium office space? According to JLL’s survey, banking and finance companies accounted for 72% of the demand for premium office space, up from 43% last year.
